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How I Spot Momentum Stocks and Avoid False Breakouts

by | Dec 22, 2021

Editor’s note: Here’s a look back at some of Roger’s timeless investing tips!

Even if you don’t trade momentum stocks on a regular basis, you still need to learn how to spot the main trend.

I hate to be the bearer of bad news, but finding the main trend is the key behind learning how to trade momentum stocks.

So whether you trade momentum or pullbacks, you must know how to do it the right way.

Because it’s also a very dangerous game…

So I thought it’d be beneficial for me to show everyone how to trade momentum stocks, but without getting false breakouts or stopped out prematurely.

Now, if you don’t intend to trade breakouts, you should still watch the video below because it’ll teach you the first part of how to recognize whether a trend is stable or not for trading pullbacks.

That’s because you need to have a stable long-term trend when you trade momentum or pullback stocks.

How to Trade Momentum Stocks Without False Breakouts or Stopping Out 

Even if you already know how to trade momentum stocks, you will find the video below useful because I’m going to train you on how to visually avoid stocks that aren’t moving in the right directions, and aren’t as promising.

I see a lot of traders look at momentum from a technical basis…

That means they’re not actually looking at the trend, which is a huge mistake!

But the way I look for momentum is through my Cumulative Strength Index scan that lets me gauge major indexes like the S&P 500 and Nasdaq 100.

What I do is look at the six-, three- and one-month charts to visually look at stocks and get a better indication of where they stand.

So check out my short video up top to learn everything you need to know on how to trade momentum stocks.

P.S. Leverage This System for the Next Fed Meeting

The Fed meeting is less than three weeks from now…

As a result, I’m really bullish on my No. 1 stock for March 

But not for the reasons you think…

You see, I believe that by taking advantage of a brand-new active style of trading that’s helped me nail a stunning 95% win rate in the last four months over 100-plus trade alerts…

Obviously, I can’t promise future returns or against losses — it’s the stock market, where anything can happen.

But if you want to see my No. 1 stock for March…

And how I plan to leverage the most advanced system I’ve ever developed to play it… ahead of the next Fed meeting…

Just Go Here!

WRITTEN BY<br>Roger Scott

Roger Scott

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