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:

  1. Technical breakout
  2. Recent earnings win
  3. 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


Now read this

Get a strategy. Get educated. Get motivated.

This is the first step in the How to Make Money Trading Stocks With a Full Time Job series. Read the preface. I buy earnings winners based on the chart, price action, and short interest. I don’t invest or gamble; I capitalize on the... Continue →