BC TRADERLION
Saved by @SeekerHari

What is a True Market Leader / TML (Thread)

(And how to find them)

 In one sentence a TML is an institutional quality stock in a leading industry group with superior fundamentals and technicals

These are monster stocks which over the course of weeks and months increase +100% to +5,000%
TMLs are popular with traders/investors whose methodology is based on the CANSLIM system developed by William O'Neil.

He called them Model Book Stocks. Huge winners worth studying to identify common characteristics that they all share
O'Neil studied over 1000 model book stocks going back to the 1880s.

Many are shown and discussed in these must read books

How To Make Money in Stocks, O"Neil
https://t.co/S2sShZedUm

Monster Stocks, John Boik @monsterstocks1 https://t.co/Cw1O9ZazGO

https://t.co/1iAGYk6Brs
A Few Examples courtesy of @SystematiCK_

Pic N Save 1979

https://t.co/d03nEEF4Eq
Netflix 2009

https://t.co/Q7hI22VoMT
Home Depot 1982

https://t.co/hd5c3rm0Si
So what are the Fundamental characteristics of a TML?

Superior:

Quarterly Sales Growth > 25% YoY
Quarterly Earnings Growth > 25% YoY
Pre+After Tax Margins >20% Recent Quarters
ROE >17%
Annual Earnings Ests for the next year > 25%

Story- A new and innovative product or service
Not every TML will have all of these criteria, but in general their record should be outstanding with regards to most of them.

The higher these values the better. Earnings and Sales growth over 100% QoQ is ideal. Annual Estimates for next year over 100% would be exceptional
TMLs are also often in the Top 20 Industry groups at the times of their runs.

The TML is the leader of an overall top group which is riding the tailwinds of changing environments.

Recent examples $SE $SHOP $AMZN Retail-Internet
$TSLA $NIO Electric Vehicles (Auto Manufacturers)
Additionally base liquidity is required for these stocks to be institutional quality.

Dollar Volume > $30 Million is essential and most should have DV much higher than that

@Upticken Likes greater than $100 Million
Accumulation by big hedge funds and mutual funds like Fidelity Contrafund are what move the markets. They won't touch a promising stock unless it has liquidity.
Now for Technical Characteristics of TMLs:

Above a Rising 30 Week Moving Average
Breaking out of a Stage 1 or Stage 2 Base
Trending above Key Moving Averages (10, 21ema, 50sma)
Volume and Price contractions within bases
Up/Down Vol> 1.2
Huge gaps up on volume after Earning Beat
And most importantly they must be showing Relative Strength, meaning they are outperforming the vast majority of stocks in the market.

This. is. vital.

RS Rating over 97 is ideal
During corrections and overall market weakness they should be near all time highs, above their longer term moving averages

They should be standing out like a sore thumb.

@duckman1717 compiled a great resource for relative strength clues

https://t.co/zy3RUEYF9B
During Market Uptrends they should be trending above the shorter term moving averages, forming sideways shelfs during small pullbacks and then breaking out again.

Most stay above their 50 SMAs and even 21 emas for extended periods of time.
So how to scan for them.

Use @MarketSmith, the IBD Stock Screener, Finviz, or another screener

and screen for the fundamental criteria mentioned above
combined with the stock over the 200+50 SMA
It's helpful to have multiple screens splitting up the criteria for instance one scan for the earnings and one for sales.
On Fintwit we also have great traders who share their screens + focus lists.

@PatternProfits
@TMLTrader
@dennisc230
@alphacharts365

are a few who help keep me focused on TMLs
Along with the key books mentioned previously

The Lifecycle Trade by

@EBoboch
@KGD_Investor
@EricKrull1
@Top_Dog_102

Is a great resource which studied recent IPO super growth stocks and compared different rule sets to trade them

https://t.co/Ka6g7ND4uU
And Finally here is a good list of recent TMLs.

Study their charts, where you would have entered and exited given your rules

$LVGO 2020
$TSLA 2019, 2020
$DOCU 2020
$FSLY 2020
$PTON 2020
$SHOP Any recent year
$AMD 2018
$ZM 2020

More from Richard Moglen 📽️🦁🚢

Richard Moglen \U0001f4fd\ufe0f\U0001f981\U0001f6a2
Richard Moglen 📽️🦁🚢...
@RichardMoglen
The Importance of Trading Rules (Quick thread)

Last week I sent out this poll asking if people have a written


Over 60% of people said they did not have one.

It's now one of my main goals to get as many people as possible to commit to writing their own rules which codify their goals and methods.

I strongly believe that writing down your strategy especially if you are a new trader/investor will lead to improved and more consistent performance in the stock market.

Trading the markets is a tough business, money is on the line and emotions can run high.

Preparing ahead of time is essential so that in the moment you are just executing your plan.

This is the best way to stay in the game for the long haul
TRADERLION
Richard Moglen \U0001f4fd\ufe0f\U0001f6a2
Richard Moglen 📽️🚢...
@RichardMoglen
The Best Resources on @YouTube for Trading 📈📽️

(Thread)

Other than books, video is a fantastic medium for traders to learn about different methodologies & techniques

In this thread I’ll be sharing my favorite resources.

Keep in mind I gravitate towards channels which focus on providing real value over entertainment.

TL We work hard to provide the best growth trading educational videos out there.

Concept videos, interviews, webinars & the archive of the 2021 Trading Conference.

16 Presentations from US Investing Champs & Hedge Fund



Mark has great webinar archives and trade walkthroughs. He also throws in a bunch of drumming and shooting in there.

I highly recommend you watch this webinar he did with @dryan310 multiple

Financial Wisdom

This channel breaks down concepts & summarizes trading books in a whiteboard style which is very entertaining to watch and makes the concepts easy to understand.

Great
TRADERLION
Advertisement
Richard Moglen \U0001f4fd\ufe0f\U0001f981\U0001f6a2
Richard Moglen 📽️🦁🚢...
@RichardMoglen
A brief introduction to trading/investing for beginners and why you should start right now (Thread)

A goal of mine is to introduce as many people as possible, especially my own age, to sound methods of how to trade/invest for their futures. Despite the stock market being open to all, in practice, not everyone is taught the value of it or how to use it to build wealth over time

This thread will hopefully help remove the knowledge barrier of how to get started. It will cover briefly:

Why you should invest (Start now!)
What even is stock?
Roth IRAs versus Traditional IRAs
ETFs+ Mutual Funds
How to buy/sell individual stocks.
Types of Investing/Trading

Now before we go further, I am not a financial advisor, I am speaking from my own experience and there are significant risks with the stock market so please consult a financial professional before getting involved. Alright let’s get to it.

First, why should you get involved and start ASAP, like tomorrow. The simple answer is compound interest and time.
TRADERLION
Richard Moglen \U0001f4fd\ufe0f\U0001f981\U0001f6a2
Richard Moglen 📽️🦁🚢...
@RichardMoglen
What is an Optimal Buy Point? (thread)

Your results as a trader/investor boil down to three statistics

Average Gain - Average % gain on winning Trades
Average Loss -Average % gain on losing Trades
Batting Average - % of trades that are gains

Like in baseball, you can find incredible success in the stock market winning only a handful of times out of ten. In fact a system that is profitable or break even with only a 30-50% BA is more robust and consistent

To establish such as system you need to manage the risk reward relationship (Average gain/Average Loss) so that you can survive winning only 30% of the time.

(I promise this is getting to optimal buy points shortly)

You should shoot for at least a 2:1 gain/loss ratio. 3:1 is even better.

With a 2:1 ratio you can loss 2/3 of the time and break even. With a 3:1 ratio you can lose 75% of the time
TRADERLION
Richard Moglen \U0001f981
Richard Moglen 🦁...
@RichardMoglen
Technical Green Flags

Gap up after Earnings
Relative Strength vs the market
Higher Highs, lows
Retaking MAs
Respect for logical support
Stage 2 Uptrend
Breakouts through resistance on HV
Pocket Pivots
Strong DCRs
Orderly price action
Near or at ATHs
Weekly Vol Spikes

What else?
SCREENERS

More from Traderlion

TraderLion
TraderLion
@TraderLion_
How to deal with Deep Red/ Reversal Days (Thread)

Often when the market is extended, we can get a quick reversal to the downside with little or no warning.

There are two main ways these days can go.

We can have a steady selling day with key stocks losing pivots or we can retrace, reverse and then finish strong.

When the market starts showing signs of accelerating distribution during the day, and leading stocks are suddenly down 5+ %, emotions and panic can quickly cause you to ignore rules and make non-systematic decisions.

Below we will cover how to prepare for this event and manage it objectively.

It’s key to understand that emotion can never be eliminated from your trading, that isn’t the goal and is not achievable.
TRADDERLION , TRADERLION
TraderLion \U0001f981
TraderLion 🦁
@TraderLion_
3 Simple Steps to Quickly Grow a Small Trading Account

--- Thread 🧵 ---

1️⃣ Define a Repeatable Edge

A basis of any successful trading system is having an edge over a series of trades.

Without a well studied edge, you cannot succeed in the market.

Example of edges:

Trend system
* Trading during the power trend
* Trading stocks that are in uptrends
* Trading GROUPS that are in uptrends

High Volume Edges
* Highest Volume Ever (HVE)
* Highest Volume in > 1 Year (HV1)
* Highest Volume Since IPO (HVIPO)

2️⃣ Define Entry Tactics from that Edge

Once you have an edge, you need an entry tactic.

Entry tactics are repeatable and definable. You should know your entry and exit points before ever placing a trade.

Examples of entry tactics:

Trend system
🟢 Enter on two closes above a KMA
🔴 Exit on two closes below a KMA

High Volume Edge
📊 High Volume Close
📊 High Volume Support

Edges & Entry tactics have to be repeated CONSISTENTLY to reduce randomness when trading a small account.
TRADERLION
Advertisement
TraderLion \U0001f981
TraderLion 🦁
@TraderLion_
There are thousands upon thousands of stocks that you can trade.

But how do you narrow it down to the best of the best?

In this thread, we'll highlight the 3 most important steps you need to take to create a Focus List (& how you can apply these lessons immediately)

👇🧵

By the end of this thread, you'll be able to:

✅ Scan quickly and effectively to build a Universe List
✅ Narrow it down further to a Weekly Focus List
✅ Find the best stocks possible to trade

It's that simple so let's jump in.

· Scan quickly and effectively to build a Universe List

🔎 Pullbacks
🔎 Breakouts
🔎 High Volume
🔎 Fundamentals
🔎 Momentum Edges

Here are the criteria you can use in your favorite scanning platform for each:

Pullbacks Edge 🚨:
· Above your favorite Key Moving Average Scan (> 10EMA, 21EMA, 50DMA)
· % Off Highs Scan (< 20%)
· Reverse Pocket Pivot Scan

Breakouts Edge 📈:
· 52 Week High Scan
· Volume > 2x Avg. Scan
· Price > 5% on Session Scan
TRADERLION , TRADING GUIDES , TRADER LION
Greg Duncan \U0001f6a2
Greg Duncan 🚢
@GregDuncan_
Why Patience is so Important as a Trader

🧵👇

Have you ever felt like everyone around you is making money and you're not?

That's how I felt today after the market closed, while I was reflecting on my week.

In fact, over the past three months I've felt like this on multiple occasions!

If we look at my equity curve (EC), updated as of today's close, we can see multiple periods in which my account balance did not change.
TRADERLION , SWINGTRADING
Richard Moglen \U0001f4fd\ufe0f\U0001f6a2
Richard Moglen 📽️🚢...
@RichardMoglen
The Best Resources on @YouTube for Trading 📈📽️

(Thread)

Other than books, video is a fantastic medium for traders to learn about different methodologies & techniques

In this thread I’ll be sharing my favorite resources.

Keep in mind I gravitate towards channels which focus on providing real value over entertainment.

TL We work hard to provide the best growth trading educational videos out there.

Concept videos, interviews, webinars & the archive of the 2021 Trading Conference.

16 Presentations from US Investing Champs & Hedge Fund



Mark has great webinar archives and trade walkthroughs. He also throws in a bunch of drumming and shooting in there.

I highly recommend you watch this webinar he did with @dryan310 multiple

Financial Wisdom

This channel breaks down concepts & summarizes trading books in a whiteboard style which is very entertaining to watch and makes the concepts easy to understand.

Great
TRADERLION

You May Also Like

Jeet Heer
Jeet Heer
@HeerJeet
1. Now that Stan Lee is being eulogized far and wide, it's important to remember how marginal Stan Lee and his collaborators (Jack Kirby and Steve Ditko) were in the 1950s and 1960s.

2. Marvel Comics (before that Atlas) was just a cog in the machine of a bottom pulp publisher run by Martin Goodman, the husband of one of Lee's cousins. It was the lowest of the low in the publishing world.

3. Now Mario Puzo (not yet the author of the Godfather) shared offices with Stan Lee in the 1950s and 1960s. Puzo wrote for garrish men's adventure magazines and, like Lee, dreamed of writing a novel & breaking out. But Puzo looked down on Lee.

4. Flo Steinberg, 1960s secretary at Marvel: "They were always making jokes about us. They'd come in and giggle. mario Puzo would look in and would see us all working on his way to the office and say, 'Work faster, little elves. Christmas is coming.'"

5. When JFK was killed, the whole office of Magazine Management was stunned and quiet. Except Lee. He continued working. "He was still working on the comic books," Puzo said. "Like that was the most important thing in the world."
CULTURE
Vikrant
Vikrant
@Trading0secrets
Trading view scanner process -

1 - open trading view in your browser and select stock scanner in left corner down side .

2 - touch the percentage% gain change ( and u can see higest gainer of today)


3. Then, start with 6% gainer to 20% gainer and look charts of everyone in daily Timeframe . (For fno selection u can choose 1% to 4% )

4. Then manually select the stocks which are going to give all time high BO or 52 high BO or already given.

5. U can also select those stocks which are going to give range breakout or already given range BO

6 . If in 15 min chart📊 any stock sustaing near BO zone or after BO then select it on your watchlist

7 . Now next day if any stock show momentum u can take trade in it with RM

This looks very easy & simple but,

U will amazed to see it's result if you follow proper risk management.

I did 4x my capital by trading in only momentum stocks.

I will keep sharing such learning thread 🧵 for you 🙏💞🙏

Keep learning / keep sharing 🙏
@AdityaTodmal
EQUITY , TRADINGTHREAD , TRADINGVIEW
Advertisement
Julien \U0001f332
Julien 🌲
@julien
1/ there is this sense when you are young that your accomplishments need to be a list of things that seem impressive to others. A list of several items you did.

This isn't actually right, so here is another suggestion.

2/ I remember being 26 and writing about reading 52 books a year. I wrote blog posts about it. They got copied. It became "a thing." Now it's in Twitter bios. It looks impressive but it's insanely useless and I shouldn't have done it.

3/ what I should have known at that time is that only young idiots like myself, with no accomplishments, find list of tiny achievements impressive. Anyone who has actually done anything of substance doesn't gaf

4/ what is actually difficult, and worthwhile, instead is to do ONE single thing for a very, very long time. It's much harder and much rarer and results in outlier outcomes much more often.

Of course you can find this out too late if you are chasing the dragon of Ted talks etc

5/ if I had only worked on a startup for a year, I would've gotten nowhere, the same way that if you lift for 3 months, it achieves nothing. Everything good in life comes from perseverance, but at the beginning, you're just like "I need to be somebody!!!"
LIFE
Pran Katariya
Pran Katariya
@KatariyaPran
The Straddle is my favorite trade these days. But more often than not, one needs to adjust to make a good return from it. There are many ways to do this depending on your view, psychology and imagination. Will discuss a few that I use

The Straddle is a delta neutral strategy and it is important to keep deltas in check during the course of the Trade and not let them run away from you. Of course Volatility is the elephant in the room- but not going there as that will require a separate discussion

The first and most common method is to go 'inverted.' That is to say to shift the untested side to generate additional Premium and increase the runway to Breakeven. So if you start with a Straddle at 700 and price goes to 740, you can move the PE up to say 720.

How much should you move the untested side? While again this is a matter of skill, experience and artistry, the rule of thumb is to cut deltas by half. Remember, prices will move and you have to allow sufficient room for them to fluctuate

The second method is to shift the entire Straddle in the direction of the move. So if you have a 700 Straddle and Price goes to 740, you can shift the Straddle to 720. If you time this right, it can generally be done at virtually no cost or minimal cost.
ALL , OPTION SELLING , STRADDLE OPTION SELLING
TWABMPTLPAFA
TWABMPTLPAFA
@SeekerIIIII
Act of 1871
This is Long but it will end with a BOOM

With no constitutional authority to do so, Congress created a separate form of government for the District of Columbia, a ten-mile square parcel of land (see, Acts of the Forty-first Congress,”

Section 34, Session III, chapters 61 and 62).
The act — passed when the country was weakened and financially depleted in the aftermath of the Civil War — was a strategic move by foreign interests (international bankers) who were intent upon gaining a stranglehold on the coffers

and neck of America.
Congress cut a deal with the international bankers (specifically Rothschilds of London) to incur a DEBT to said bankers. Because the bankers were not about to lend money to a floundering nation without serious stipulations, they devised a way to get their

foot in the door of the United States.
The Act of 1871 formed a corporation called THE UNITED STATES. The corporation, OWNED by foreign interests, moved in and shoved the original Constitution into a dustbin.

With the Act of 1871, the organic Constitution was defaced — in effect vandalized and sabotage — when the title was capitalized and the word “for” was changed to “of” in the title.
HISTORY