acceleration bands

Download Acceleration Bands

Post on 27-Apr-2015

581 views

Category:

Documents

2 download

Embed Size (px)

TRANSCRIPT

A.C.E. InvestingAcceleration Bands

Course Instructors: Andrew Hart & Scott Downing

BigTrends Coaching

Access to Big Trends and its coaching services is provided for educational and informational purposes only. The information presented here does not constitute a recommendation to buy or sell a particular investment. You are solely responsible for your investment decisions, and BigTrends and its staff are not responsible for any trades you choose to make. Not all Big Trends products or services are appropriate for all investors. BigTrends does not provide personalized financial, tax or legal advice. Please consult your tax consultant prior to making any investment that may impact your tax situation.Page 2

Coaching ScheduleFocused Courses with Defined Goals 1 2 3 4 5 6 7 8 9 10 Price Action (Technical vs. Fundamental Analysis) Building Your Trading Plan Drawing Support & Resistance Lines Williams Percent R Rules Moving Averages Williams Percent R Scans Acceleration Bands Continuous Growth via Trade Journal Know Your Options (Intro to Options) ACE Trading Strategies (Simple Options)Strategy Session Trading Plan Indicator Indicator Indicator Indicator Indicator Psychology Options Selection Strategy Session

Page 3

Why We Use Acceleration BandsAcceleration Acceleration find trends that are starting to speed up for faster profits We started trading with moving averages We quickly noticed that the best stocks never re-test major moving averages We liked the concept of adaptive bands that could adjust based on more recent price action Acceleration Bands should encompass 95% of price action

Page 4

Why We Use Acceleration BandsAcceleration If Acceleration Bands encompass 95% of the price action, we like to catch the other 5% move. This allows us to trade the statistically rare events for big profits. Famed Money Manager George Soros stated that these unexpected moves, or fat tails, was where he made the most money.

Page 5

Trading the BubblesBubbles A Bubble in a stock is often viewed as a negative. BY TRADERS WHO MISSED THE BIG MOVE!

The Beginning

The Acceleration Bands allow you to spot when the trend is emerging before it becomes obvious to everyone else.

The Insight

This indicator also tells you when the Bubble is bursting. Often happens before the true collapse.

KEY POINT

Stocks that Bubble Up, eventually burst and break down, quickly. You can trade both sides of this move.

Page 6

Acceleration Bands: RulesBullish entries and exits

Bullish EntryLook for Two (2) closes in a row above the upper 20-bar Acceleration Band. For strongest trends, second close is higher than the high of the first bar.

Bullish ExitA close below the 10-bar Exponential Moving Average (EMA). This tends to be better than a close under the upper acceleration band.

Page 7

Acceleration Bands: Google (GOOG) Daily Bullish

Page 8

Acceleration Bands: US Oil (USO) Weekly BullishPage 9

Acceleration Bands: Intuitive Surgical (ISRG) Weekly Bullish

Page 10

Acceleration Bands: RulesBearish entries and exits

Bearish EntryLook for Two (2) closes in a row below the lower 20-bar Acceleration Band. For strongest trends, second close is lower than the low of the first bar.

Bearish ExitA close above the 10-bar Exponential Moving Average (EMA). This tends to be better than a close over the lower acceleration band.

Page 11

Acceleration Bands: Google (GOOG) Daily Bearish

Page 12

Acceleration Bands: US Oil Fund (USO) Daily Bearish

Page 13

Acceleration Bands: Citi (C) Weekly Bear

Page 14

Acceleration Bands: Lehman Bros (LEH) Daily Bear

Page 15

Acceleration Bands: Research in Motion (RIMM) - Monthly

Page 16

Type your questions in the chat box.

Do You Have Any Questions?

Page 17