Well, sort of...
Nothing is going to be handed to you so you have to do your homework. You can spend all day reading news clips and have no time for anything else to do, including trading, and still probably not get anywhere. One thing you can do is let the news happen first then let the volume show up that makes the ticker at least easier to find. In other words, simply scan for volume spikes. StockFetcher can do this or with the scanning tool in TOS. I did a simple scan after the maket closed to look for volume spikes that were 100% greater than 1 day ago for stocks priced between 0.10 and 1.00 and several tickers showed up. One of which was TPNL. If you look at the chart and if I would have run this scan yesterday the possibility existed that I could have caught this large move today. However, back in October of 2014 the scan would have picked this up and the following few weeks there were positive news reports making this a 'put this on your watchlist stocks'.
- Run the volume spike scan
- Digest the news
- Look over the chart
- Put it on your watchlist
- React
You'll have to follow these every day. You can run the scan every day and add new tickers to your watchlist but you have to ask yourself how many do you want to follow and how much time to devote to this every day.
This is the chart for $TNPL as of the close on 3/25/15. The red vertical lines show a few volume spikes that would have show up on a scan and the move today.
Buck...I don't think Tim mentioned when he found $MEDL but if you look at the chart you'll see some days where it only traded 25K shares so it's really hard to put a minimum on what actual volume # to look for. However, I've simply been using a 100% increase versus the previous day. I know it has been said to only trade those stocks with a minimum of 300K or 500K daily volume but I think to spot these early enough to start doing the data mining that at least a 100% increase. You might want to w
want to weight the news by looking for a 150%, 200%, increase also thinking that the larger the increase in volume to more hype or more good news etc. happened.
That's very helpful, thank you.
No problem. I'm going to try to work on finding those stocks that have been channeling for a while and the volume breakout. I'm using the scanning tool in TOS and will try to put that together in StockFetcher also. My other reason for doing this is that you have to think that Tim and some of the others aren't going to be around forever and it's up to us to be able to do this on our own at some point. Stand by...I've had the flu for the past few days, makes it hard to do anything right now...
Join now or log in to leave a comment