Technical Breakout + Earnings + High Short % = Premium Opportunity
Finding a way to trade around one’s day job seems to be a fairly popular challenge with a lot of the newer traders I meet around the internet. If you read my blogs, you’ll notice I post a lot of charts. This is because I believe that leveraging my ability to recognize repeating patterns and pulling the trigger with conviction will synthesize an advantage that plays in my favor.
I recently outlined one of the best long setups for trading around your day job, which essentially amounts to buying earnings winners when they’re breaking out over the day 1 high. Not surprisingly, this pattern held true this week, and because I don’t waste my time trading random stocks, I was prepared.
There are three things all of these setups have in common:
- Technical breakout
- Recent earnings win
- High short %
The volatility in these stocks make them ideal for traders with small accounts (I only had 250 shares of $ATW), and the multi-day uptrend provides a low stress opportunity for those trying to trade around their day jobs.
Learn how I found these stocks: How to Find the Best Stocks to Trade With a Small Account