Trading momentum stocks isn't just about finding the right stocks, it's about finding the right markets.
I'm sure you've heard people say, "There's always a bull market somewhere." The problem is, most traders are missing out on trends in the market because they simply aren't looking in the right places.
Each and every day there are new trends that develop and new momentum stocks that break out to new highs. The problem is, it's very difficult to determine which of these stars will fizzle and which of these stars will bring explosive future gains. It takes a special recipe to put it all together.
First, you have to find the right technical picture. It's easy to find a stock that's breaking out to new highs. Simply look at a list of stocks making 52-week highs. You can see the same stocks popping up again and again as segments of the market surge higher.
Earnings are the Key
A breakout on price momentum without any earnings momentum behind it is often a short-term move that quickly runs out of gas. When you find stocks that are breaking out from a technical perspective which are also experiencing intensely bullish earnings estimate revisions, you've got a recipe for success. Not just short-term success, but long-term, sustainable, and most importantly, repeatable success.
More . . .
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Don't Wait for Monday's Market Bell
Today, gain instant access to the 7 high-potential stocks inside Zacks Momentum Trader portfolio. You'll also be first in line to see an exciting new pick that will post Monday morning.
Most stocks that break out to new highs fizzle like shooting stars. Only a few continue their breakout momentum. Don't miss this chance to access our rare picks.
What's more, you can download our Special Report: Zacks' 7 Best Stocks for the Next 30 Days. Hurry, this opportunity ends midnight Sunday, September 24.
Click here for our best momentum stocks >>
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Equity markets right now are surging higher on a remarkable quarter of earnings. The S&P 500 and the NASDAQ are breaking on through to record highs. Earnings have been powering their moves higher, not just P/E multiple expansion. Finding the perfect momentum stocks to buy means we have to look to where the earnings momentum is the strongest. Where is the pressure building for the eventual volcano-like blow-off top?
Big-Time Biotech
Did you know that one of the hottest industries in the market has been biotech? Over the last 30 days, five biotech stocks in the S&P 500 have returned over 10%. This scorching hot industry is benefiting from an accommodating Trump FDA, loosening the controls on the market and allowing for medical breakthroughs to take place.
However, not all biotechs are created equal. It's not enough to close your eyes and blindly choose a few biotech stocks. By finding which companies have seen recent earnings estimate revisions to the upside, I find stocks which are poised to become the next runaway breakout stocks. Combine this increase in earnings estimates with my "Trend, Trace, and Trigger" method of technical analysis and you have a winning one-two punch for profits.
Saddle Up and Ride
Finding gems like this is only a single arrow in our quiver. When it comes to uncovering fresh momentum stocks to buy week-in and week-out we've got a time-tested, proven strategy that's rooted in the strength of the Zacks Rank. When it comes to predicting which way a stock is headed, there's nothing quite like it.
One of the 5 biotechs I mentioned meets the strict technical and fundamental qualifications I use to pick stocks for Zacks Momentum Trader.
I'm holding 7 high-potential tickers, and I plan to add that biotech stock on Monday. You can be one of the first to see it.
When you look into our Momentum Trader picks, you can also download our newly-updated Special Report, 7 Best Stocks for the Next 30 Days. These stocks are taken from the list of Zacks Rank #1 Strong Buys and poised for immediate breakout.
This opportunity ends midnight Sunday, September 24.
See Momentum Trader buys now >>
Good Investing,
David
David Bartosiak is Zacks' resident technical and momentum expert. He selects stocks and delivers daily commentary for our Momentum Trader portfolio.
Image: Bigstock
The Secret to Finding the Next Big Thing
Trading momentum stocks isn't just about finding the right stocks, it's about finding the right markets.
I'm sure you've heard people say, "There's always a bull market somewhere." The problem is, most traders are missing out on trends in the market because they simply aren't looking in the right places.
Each and every day there are new trends that develop and new momentum stocks that break out to new highs. The problem is, it's very difficult to determine which of these stars will fizzle and which of these stars will bring explosive future gains. It takes a special recipe to put it all together.
First, you have to find the right technical picture. It's easy to find a stock that's breaking out to new highs. Simply look at a list of stocks making 52-week highs. You can see the same stocks popping up again and again as segments of the market surge higher.
Earnings are the Key
A breakout on price momentum without any earnings momentum behind it is often a short-term move that quickly runs out of gas. When you find stocks that are breaking out from a technical perspective which are also experiencing intensely bullish earnings estimate revisions, you've got a recipe for success. Not just short-term success, but long-term, sustainable, and most importantly, repeatable success.
More . . .
------------------------------------------------------------------------------------------------------
Don't Wait for Monday's Market Bell
Today, gain instant access to the 7 high-potential stocks inside Zacks Momentum Trader portfolio. You'll also be first in line to see an exciting new pick that will post Monday morning.
Most stocks that break out to new highs fizzle like shooting stars. Only a few continue their breakout momentum. Don't miss this chance to access our rare picks.
What's more, you can download our Special Report: Zacks' 7 Best Stocks for the Next 30 Days. Hurry, this opportunity ends midnight Sunday, September 24.
Click here for our best momentum stocks >>
------------------------------------------------------------------------------------------------------
Equity markets right now are surging higher on a remarkable quarter of earnings. The S&P 500 and the NASDAQ are breaking on through to record highs. Earnings have been powering their moves higher, not just P/E multiple expansion. Finding the perfect momentum stocks to buy means we have to look to where the earnings momentum is the strongest. Where is the pressure building for the eventual volcano-like blow-off top?
Big-Time Biotech
Did you know that one of the hottest industries in the market has been biotech? Over the last 30 days, five biotech stocks in the S&P 500 have returned over 10%. This scorching hot industry is benefiting from an accommodating Trump FDA, loosening the controls on the market and allowing for medical breakthroughs to take place.
However, not all biotechs are created equal. It's not enough to close your eyes and blindly choose a few biotech stocks. By finding which companies have seen recent earnings estimate revisions to the upside, I find stocks which are poised to become the next runaway breakout stocks. Combine this increase in earnings estimates with my "Trend, Trace, and Trigger" method of technical analysis and you have a winning one-two punch for profits.
Saddle Up and Ride
Finding gems like this is only a single arrow in our quiver. When it comes to uncovering fresh momentum stocks to buy week-in and week-out we've got a time-tested, proven strategy that's rooted in the strength of the Zacks Rank. When it comes to predicting which way a stock is headed, there's nothing quite like it.
One of the 5 biotechs I mentioned meets the strict technical and fundamental qualifications I use to pick stocks for Zacks Momentum Trader.
I'm holding 7 high-potential tickers, and I plan to add that biotech stock on Monday. You can be one of the first to see it.
When you look into our Momentum Trader picks, you can also download our newly-updated Special Report, 7 Best Stocks for the Next 30 Days. These stocks are taken from the list of Zacks Rank #1 Strong Buys and poised for immediate breakout.
This opportunity ends midnight Sunday, September 24.
See Momentum Trader buys now >>
Good Investing,
David
David Bartosiak is Zacks' resident technical and momentum expert. He selects stocks and delivers daily commentary for our Momentum Trader portfolio.