Top Trade Update - Early May
Concerns about potentially overheated cryptocurrency and tech sectors, global unrest and inflation fears have all driven market turbulence. In this type of market, gains can be found in sectors will perform well with increased consumer demand (industrial metals) and those that have been underperforming (energy). Experts who have seen cycles come and go are invaluable in these times. While some of these gains may not seem massive compared to prior months, we are purposefully featuring Top Trades that represent excellent risk/reward bets – megacap names, sector ETFs. Follow these experts on the Trade Exchange!
MO: +20% in 22 weeks – The Fibocall
Gary Berman of The Fibocall uses Fibonacci-based technical analysis for broker/dealers and family offices. In late January Gary wrote: “The March 2020 spike low was the clear bottom for MO. Higher lows were made while some backing and filling occurred. We’re looking for higher and a close above the 200 day weighted moving average @ 51.60 to ADD to longs.”
TSCO: +16% in 8 weeks – Alpha Insights
Another opportunity emerged for Alpha Insights with an excellent risk/reward profile. Jeffrey Huge provided this idea in mid-March: “The shares of Tractor Supply Co (TSCO) have resolved a classic patterned based formation and checked back for an opportunistic entry point. The bullish inflection above $160 projects a measured move to approximately $199. We entered the trade at $171.50 and set our stop-loss provision at $148 for a 4:1 positive risk skew.”
PICK: +16% in 10 weeks – ETF Trend Sense
In a market where hot sectors cool down, opportunity emerges in sectors that respond to demand. Sal Mangano of TradingStockAlerts.com, publisher of the ETF Trend Sense product: “The prices of copper, aluminum, tin, lead and nickel have all been rising recently as traders bet on a resurgent global economy based on vaccinations pandemic, central bank involvement and fiscal stimulus. This ETF is comprised of miners of industrial metals only. As metals prices increase, profit margins for miners should increase as well. Note that bond yields have widened lately and some investors are beginning to worry about inflation. A common hedge against inflation is, you guessed it, an investment in commodities. We think this ETF has more room to run as tech seems to be slowing down and traders look for a bull market in an alternate sector.”
CYH: +14% in 1 week – Turbo Trading Swing Trade Membership
One of our top experts moves into a different sector to find profits. Bob Knight of Turbo Trading: “Stock held the rising channel line and broke out through lateral resistance. Its chart strength indicated additional upside, and we were able to take quick profits in an unsteady market.”
XLE: +7% in 3 weeks – Sector & Group Rotation Swing Trades
Our experts provide ideas that tell you when to move into long-neglected sectors. Serge Berger of The Steady Trader, publisher of Sector & Group Rotation Swing Trades: “The energy sector, after significant multi-year underperformance against the broader equity markets, is at a turning point to squeeze higher and surprise underweighted investors. Many if not most institutional investors are underweighting the energy sector. The energy sector ETF (XLE) has already begun to show better relative and absolute performance, but could now be on the verge of really forcing underinvested funds to chase this sector higher.”
SLB: +5% in 1 wk – Altos Trading Stock Alert System
Another opportunity in the energy sector with a global mega-gap name. Jeff Tompkins of Altos Trading uses an algorithm-based approach to identify profitable trading opportunity based on price trends. On April 29 he identified an “oil and gas trend line breakout” with Schlumberger, a massive oilfield service company with a global presence. Less than a week later he booked a solid gain in a turbulent market.
DISCLAIMER: While these ideas (dates, times and purchase/sale prices for entry and exits) have been documented within Trade Exchange’s system, these are examples of past performance and not an indicator or promise of future performance. Individuals who follow experts featured on the Trade Exchange assume all risks and take full responsibility for unveiling and following ideas, whether they execute trades in their linked brokerage account through the Trade Exchange app or in their brokerage accounts that are not linked via the Trade Exchange app. Trade Exchange strongly encourages everyone to review all the trades posted by a partner, as many lose money. All results – including entry and exit prices – are available for review.