Sunday, November 19, 2017

Hunting For This Week's Big Turkey $$

In this video we are searching for this week's big winner, I also give some recent examples of what to look for and how to set up your scan to find big short-term winners.



STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 

IBD WEEKLY RECAP 11/20




STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 

Friday, November 17, 2017

How To Trade All or None Sectors




STOCK OF THE WEEK RECAP



Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 

Saturday, November 11, 2017

Taking Advantage Of Short-term Moves

I'm a big believer that stocks move in short-term bursts. Small capitalization (small floats) stocks could easily move 5-20% in 3-5 days, possibly even more, depending on market conditions. Large capitalization stocks move in dollar terms, $5-10 at a clip.

What is swing trading, what is momentum burst? No one has a better answer than Stockbee. Very simply, it is a structural phenomenon that has existed for a long time, stocks can move in the short term without an identifiable catalyst.

$ZYNE a stock we highlighted on 11/2/17 fits the bill.

  • The stock made a 100% on 9/28 on the back of some positive phase 2 results.
  • It then traded sideways for 23-days before we flagged it.
  • After our buy-stop was triggered it went on to move 30% on no news.


They don't all work like this, like every other strategy you are going to be wrong half the time, money management is key, and position size will make all the difference in the world.

Identifying the stock at the right time is only the first step, the most important steps are position size and management of losers and winners. But if you understand the math you can make swing trading work within a passive portfolio.

The best way to find the best short-term momentum candidates is to look at the top 300-400 best-performing stocks year to date, I explain more in the video below.




STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Friday, November 3, 2017

Anadarko Petroleum Buying Back Shares

Anadarko Petroleum $APC is a very interesting situation because they just announced a 2.5 billion dollar buyback and entered into an accelerated repurchase program to do the first 1-billion by year-end.  Basically, its somewhat of an underlying bid for the stock. This stock should be on your radar on all the down days.



STOCK OF THE WEEK RECAP


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Wednesday, November 1, 2017

Some Signs Of Life

On the video below, I go over my watchlist for today and highlight some stocks that are showing some signs of life.


STOCK OF THE WEEK RECAP


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Tuesday, October 31, 2017

How To Deal With Negative Divergences

It has been the same song and dance for the last couple of weeks, many stocks are not triggering and those that are triggering are not showing much follow through. You can see that on the chart below that looks at the number of stocks up 13% or more in the last 34-days versus those that are down 13% in the last 34-days.


In the VIDEO below I discussed the stocks on my watchlist and a way to deal with negative divergences/narrow rallies.

$CWBR $VERI $EHIC $TGT $FIVE $TTD $GWRE $SQM


STOCK OF THE WEEK RECAP



Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Sunday, October 29, 2017

10/30 IBD WEEKLY RECAP

On the video below I did a quick recap of Investors Business Daily weekly paper.

We found $YY $NVDA $TTD $GWRE as stocks of interest on the long side for tomorrow.

YOUTUBE LINK.


STOCK OF THE WEEK RECAP



Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Thursday, October 26, 2017

Same Theme, Different Day

Stocks are not triggering, there is a lack of follow through, and fresh 1-month new lows are rising.




STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Wednesday, October 25, 2017

Swing Trading Ideas

In this short video, I discussed what has been happening lately with some individual stocks and I also highlight some stocks that may be actionable today.


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Tuesday, October 24, 2017

Dead Period

The market for individual stocks is going through a dead period, fewer stocks are triggering and the ones that are, are not following through.

 

STOCK OF THE WEEK RECAP


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Sunday, October 22, 2017

How To Look For This Week's Big Winner

In this video, I discussed how you can scan and find stocks that more than likely are going to be this coming week's biggest winners.

1. You rank the stocks based on momentum, high to low and or you can look at the top 250 stocks that are up the most year to date.

2. Flag the stocks that are consolidating for 10-15 days and get ready for them to breakout again.

3. $HMNY $ANAB $ZGNX $MBTC $FSNN $ALNY $CRC $SGMO $BGNE $JUNO are the stocks of interest on the long side if and only if they can get through Friday's high plus .10-cents.




STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Friday, October 6, 2017

Your Watchlist Is Everything

My rolling five-day watchlist is my best barometer to measure the health of the market for short-term swing trades. My watchlist is everything, it tells me more than watching the indices ever will. As a matter of fact, I don't even have the indices on my screen, I have no idea during the day what the market is doing. I encourage you to take the indices off your screen and allow your watchlist to do the talking.

Your watchlist is everything, it will tell you;


  • Are you looking at the right stocks?
  • Are you flagging them at the right time?
  • Are they moving immediately in your favor after the buy trigger is hit?
  • What sectors, industries, etc are in play.
  • It will tell you whether you should be aggressive or not.


The performance of your rolling five-day watchlists is also very telling.

  • It tells me whether or not gains are sticking.
  • It tells me if I should take profits sooner or hold a little longer for more significant gains.
  • Whether I should be aggressive or not.
This type of post analysis work will tell you all sorts of things about your trading, and at times it will have you second guess your approach. The key is to find a happy medium.

We flagged $JP on 9/28, the buy trigger was $12.41, the stock immediately started to move immediately,  the stock was up 20% two days later, enough gains in such a short period to lock in profits. However fast forward four days later and the stock is now up 40% since our trigger was hit. These type of situations always leave you second guessing, should hold onto a piece until the stock break the previous day low, and hold on to another piece until it closes below its 10-day moving average, etc.?



But then you come across a situation like $AVEO, technically the stock looks great, it hits our buy stop and immediately goes up 8% the same day. The next day it pauses beautifully, and then it takes off in the after hours on the back of some FDA trial news. The stock was up 30% from our buy stop in the after hours, I was counting the ka-chingas, we rang the register on a few shares but wanted to hold onto a bulk of it looking for a $JP type move. Well, that move did not come, the stock faded all day today trading back to our buy price. So on one trade left us with sellers remorse and the other bag holders remorse. Welcome to trading.



The point is to find a happy medium, your watchlists and trades will help you get there. If your entries are strong, maybe you can consider sizing up more than usual on your entries to take advantage of your good timing. If you see that stocks are moving longer than usual then maybe you start leaving a piece on until the stock breaks the previous day low or closes below its 10-day moving average.

Here's how our rolling watchlists performed;




Some of these stocks triggered, some didn't, some had gains initially and then faded. What you want to do is to look at the tracking dates of the names and see how the stocks looked technically that day, I can assure you that if you do that you will find some commonalities that you can reproduce yourself.

STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Thursday, September 14, 2017

This How You Will Find Your Next Winner

Contraction in stocks with high momentum typically leads to more upside, it's that simple.

Here are a few recent examples.




The best way to find stocks with high momentum is to sort the universe of stocks based on year to date performance (high to low), or the best-performing stocks of the last 3-6 months, look at the top 200 stocks. Once you do that you want to wait until the stock consolidates (don't chase) to within a couple percent from its 20-day moving average, then it's just a matter of waiting for the first hint of expansion to jump aboard.

STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Wednesday, September 13, 2017

You Have To Believe



When it comes to trading and investing you have to do what you believe in, and what you believe doesn't even have to be true, you just have to believe.

Some people believe that the only way to make money is by buying stocks that trade above $15. Others believe that stocks under $10 is where big money is made. A few believe that stocks need to have accelerating sales and earnings growth. Some believe that stocks with low PE is the answer to picking winning stocks. Whatever it made be, you have to believe in it.  Fact is that with the proper risk management the market will give you enough wins to reinforce your beliefs, regardless of the fact if those beliefs are true or not.

I like to focus on the things that are the most important things that make a stock move within my timeframe.

  • What are the things that matter the most within your time-frame? 
  • Is it stocks being above certain moving averages? 
  • Do the stocks have to be above or below a certain price? 
  • Do they need to grow their sales and earnings at a certain minimum amount; +15%, 25%? 
  • Do they have to be a certain percent off their highs?  
  • Do they have to have a low PE?
  • Do they need to be in a current top 20 sector?


This is what you need to figure out, not by reading books from 1920, the 60's,80's, etc. but by actually looking presently at what is working NOW within your timeframe. What are the factors that matter the most within your average holding period?

Things change, and what worked in the past won't necessarily work in the future. If your beliefs about trading and investing come from your own work, then it will be a lot easier for you to have conviction during tough times. If you want to know if stocks need to have to meet certain criteria's to do well like some book or blogger said then just look at the best-performing stocks within your timeframe to see if it is true or not.

STOCK OF THE WEEK RECAP


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 

We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Friday, September 8, 2017

It's Too Late


The popularity of shorting volatility has risen exactly when the most popular short-based ETF'S have lost momentum. A few articles in the last couple of months have highlighted how easy it has become to short volatility.  As you can see in the chart below, SVXY has traded lockstep with the SP500, hitting highs and lows almost simultaneously until recently. The SP500 is off -1% from its recent highs and the SVXY is -16% off its highs. This is a character change for SVXY and XIV.


"Each morning, at the market’s open, Seth M. Golden, a former logistics manager at a Target store, fires up the computer in his home office in northern Florida and does what he has done for years: Put on bets that Wall Street’s index of volatility, the VIX, will keep falling".--NYT


Wall Street’s “fear gauge” has neared all-time lows this year. That hasn’t stopped retail investor Jason Miller from making a nice chunk of change betting it will go even lower.
The Boca Raton, Fla., day trader says he has made $53,000 since the start of the year by effectively shorting the CBOE Volatility Index, nicknamed the VIX. That includes a white-knuckle day on May 17, when the VIX spiked 46% following reports that President Donald Trump had pressured former FBI Director James Comey to drop an investigation into former National Security Advisor Michael Flynn.--LINK
INVESTORS HAVE NEVER BEEN MORE SHORT VOLATILITY FUTURES.

Here's the bottom line; With the can't lose short volatility ETF'S losing momentum this trade just got a little harder, and I would not be pressing my bets nor venturing out into this strategy right now.

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 

We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Tuesday, August 29, 2017

Now We Can Point Our Fingers

The market is under pressure this morning due to the missile launch by North Korea. Fact is; we've been saying in these pages for the last couple of weeks (here and here) that there's been a slight change in character in the market, the North Korean missile is just something we can blame.

Unlike previous times when the market sold off we did not see a V-bottom nor did we see an uptick in stocks rebounding hard after the sell-off this time around. As you can see in the chart below, anytime we had a spike in 1-month new lows we typically had a day with a lot of stocks going up 4% or more immediately after, that was not the case this time around. Overall, breadth has been slow to rebound, unlike previous times.


The indices are below their 20-day moving averages and set-ups are scarce, act accordingly.

$DVAX $GRUB $NEWA $PLUG are the stocks of interest on the long side for me today if and only if they can get through yesterday's high.


STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 

We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.