Technical Analysis.

Our conservative short-term trader has made some profitable trades over the past week. Based on our advice and analysis he was able to make $4,180 in less than a week!

If one had traded options, they could have made more than 40% on each trade.

Over the past week, as MarketVolume has stated, the market continued in it's uptrend. Our short-term conservative trader took advantage of this by buying QQQQ every time the market had small dips, and then selling when there was a volume signal to sell. The results of his trades were quote impressive, as the NASDAQ 100 has had some very impressive gains over the past couple weeks.

Motivations behind Trades: In the above chart, you can see where each trade was placed, and the volume associated with each trade. The first trade was placed shortly after the market had a sharp decline, but there was a significant amount of supportive volume at that point which indicated to our trader that the market would move higher. The market did move higher, and due to a large VMA spike to the upside, our trader decided to sell his shares in QQQQ, as this volume was an indicator the market could move lower. When the market did move lower, he placed another trade, which he sold two days later after 2 moderately large VMA spikes to the upside. Even though the Market Commentary suggests the market will continue to move higher, out conservative mid-term trader decided that it would be a good time to take profits and to be safe.

Conclusion: Our short-term trader, based on our Market Commentaries and Volume Signals, thinks the market will probably move higher, but to play it safe, decided to close his outstanding positions.

How can this chart be used by me?
Our main reason for publishing these charts is to allow our members to learn by another trader's example  how they can make trades based on our volume signals and Market Commentary. Members can gain a better understanding of how to enter and exit the market, based on when a signal is generated. To learn from these charts, you don't need to trade the specific security mentioned in this publication, but whatever security you feel comfortable with. The principles for trading QQQQ shares will not change when trading something like S&P 500 futures.

Why trade only stocks (index shares) and not options?
Due to the current climate in the market, and the fact that this trader's goals were to make a decent return but still remain fairly safe in his trades, he decided only to trade stocks. Even if the market had not changed in his favor, he could have held onto these shares for months without having to worry about losing a lot of money as he could if trading options or futures. Simply put, he wanted to make secure trades.

What is a 'VMA spike to the upside'?
Simply put, that means that most of the VMA spike was connected with the index while it was moving up.

The same principles mentioned above works for trading S&P 500, S&P 100, Dow Jones, and other indexes.

Here is a detailed list of our investor's trades, which netted the above returns:

To see any of our past best trades, simply select from the list below.