Short-Term Trading Opportunities
PowerRatings are based on the relative strength or weakness of particular stocks or ETFs. The higher the rating, the greater the one week historical gain has been for stocks and ETFs with that rating. For best results, enter these trades with a limit order 3-7% below the previous day’s closing price. Higher % limit entries have historically shown a greater percentage of winning trades but higher % limit orders also reduce the chance of trade execution.
In the past, buying stocks with a rating of 9 on a 5% pullback the next day and selling five days later has been profitable 77% of the time. The average winner has gained 6.1%. Other entries and exits also show high winning percentages and large average gains.
Theravance (NASDAQ: THRX) has partnered with GlaxoSmithKline (NYSE: GSK) to offer a drug used to treat bronchial asthma. That drug was approved by the FDA earlier this year. European officials have also approved the drug and Japanese authorities approved the drug last week. The two companies have another drug for respiratory diseases in the approval process and an FDA decision is expected by mid-December.
Market Timing Tool
The Market Timing Tool can be used to identify the direction of the long-term trend which could increase the probability of winning trades. By highlighting bear markets, this tool will help avoid long trades when the market is in a long-term decline. This indicator is bullish.
