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LEGAL DISCLAIMER
Before you proceed with the course,
make sure you read and understand the
following disclaimer.

This manual is for informational purposes only. The author is not an


investment adviser, financial adviser, or broker, and the material contained
herein is not intended as investment advice. If you wish to obtain personalized
investment advice, you should consult with a Certified Financial Planner (CFP).
All statements made in this manual are based on the author’s own opinion.
Neither the author or the publisher warrants or assume any responsibility for
the accuracy of the statements or information contained in this manual, and
specifically disclaims the accuracy of any data, including stock prices and
stock performance histories. No mention of a particular security or instrument
herein constitutes a recommendation to buy or sell that or any security or
instrument, nor does it mean that any particular security, instrument, portfolio
of securities, transaction or investment strategy is suitable for any specific
individual. Neither the author or the publisher can assess, verify, or guarantee
the accuracy, adequacy, or completeness of any information, the suitability
or profitability of any particular investment or methodology, or the potential
value of any investment or informational source. READERS BEAR THE SOLE
RESPONSIBILITY FOR THEIR OWN INVESTMENT DECISIONS. NEITHER
THE AUTHOR OR THE PUBLISHER IS RESPONSIBLE FOR ANY LOSSES DUE
TO INVESTMENT DECISIONS MADE BASED ON INFORMATION PROVIDED
HEREIN. At the time of writing, neither the author or the publisher has a
position in any of the stocks mentioned in this manual.

By proceeding with reading this course, you affirm that you have read and
understand the above disclaimer.

2020 SwingTrades LLC All rights reserved


How to Take Advantage of
“Ignored Stocks”
We’ve all heard stories of stock traders who started with a small stake and turned it into several
million. But did you know they often do it trading stocks the average investor doesn’t even know
about? (Or isn’t thinking about.) These are what I call ignored stocks, and they can potentially be
very powerful if you know how to handle them.

What Are Ignored Stocks?


Ignored stocks are stocks that the average investor doesn’t consider. Let’s look at an easy
example first.

Back in February and March, most of the market got beaten down because of the pandemic.
When the market started to recover in late March and early April, I received unprecedented
interest from people who wanted to learn the stock market. They believed it was a historic
opportunity. (It was — and still is.)

But a lot of people were focused on companies like cruise lines or airlines. They figured these
companies would bounce back. But I cautioned against these stocks because there was too
much uncertainty around those industries. How long would it take to come back? Would they
have revenue capacity on day one of re-opening?

Instead, my focus was on ignored stocks. I was making a list of companies that either weren’t
affected businesswise, or those that would be back on day one when the economy was back on
its feet.

An example would be something like McDonald’s (NYSE: MCD). First, McDonald’s was still
selling food for delivery or collection in much of the country. There was still revenue. But more
importantly, I had strong confidence that its business would be back day one. I was confident
that Americans would still go through the drive-thru and eat.

Fast forward six months, and you’ll see that McDonald’s not only fully recovered, it’s trading near
all-time highs. What about cruise line and airline stocks? They’re still beaten down.

What Drives Price Action?


Often it’s news — but not always in the obvious way. For example, you’ve probably seen the big
moves made by Tesla this year. But did you know there are a lot of other companies in the EV
sector that have also made big moves?

There are also related companies — those that supply the EV industry. A good example would
be lithium and/or lithium battery stocks. While a lot of investors and traders focus on the big
name, I like to focus on the ignored stocks that run in sympathy to the big names.
Other price drivers are:

• News of billionaire investors.


• Positive reaction to earnings.
• Contract wins.
• New product releases. (Or hype surrounding an unreleased product.)
• News of testing. (Especially in the pharmaceutical sector.)
• Initial Public Offerings. (Fair warning: not all IPOs are the same.)

Also, big world events like the already mentioned pandemic. While most of the market got
beaten down, dozens of stocks spiked based on news around the virus. For example…

• Pharmaceutical companies working on a vaccine


• Mask manufacturers — especially in the early days when PPE was scarce.
• Testing companies — especially when the testing process was still slow
• Work from home companies.
• Virtual reality companies
• Home-based education
• Companies that help disinfect hospitals. (Keep reading for an example of a recent winning
IPO trade in this health sub-sector.)

Micro- and Small-cap Stocks: What Everyone Wants to Know

Do You Ever Lose on Trades?


Yes, of course! Losses are a part of trading, and anyone who tells you otherwise is lying. Over
the years my win rate is roughly 55%. But I keep my losses small and go into every trade with
a plan. If the trade hits my personal stop loss, I get out. You should follow the same rule. While
losses are never fun, if you cut them quickly, it protects your capital for future trades.

How Much Risk Is Involved?


The core of my strategy is to maximize gains and minimize losses. I use a system to determine
whether a stock fits my criteria. My strategy is built on a foundation of rules and discipline.

I have a proprietary method for letting winners run. But I’m consistent in applying the discipline
and rules I’ve developed over 23 years.

While most of my trades work — and I’ve gotten better over the years — they don’t all go my way.
When that happens, I exit my position.

Other times I take partial profits along the way. That allows me to lock in profits and let a smaller
position ride.

I always set my personal stop, or risk, level before entering a trade.


Why I Love Swing Trades
My primary strategy is swing trading. This is where I hold a stock until an event or target range
occurs as long as the thesis does not change. I always know my downside loss risk and upside
target range. Once it hits my target range, I start to take profits.

Here’s an example of a longer term swing trade…

Trulieve Cannabis Corp (OTCQX: TCCNF)


Trulieve is Canadian listed company that trades in the U.S. on the OTC markets. The company
operates in Florida and aims to replace opioids with cannabis. At the time I entered this trade,
the company was hinting at an acquisition and had solid earnings.

Here’s the three-year TCCNF chart showing my first entry and final exit:

TCNNF chart: 3-year, daily candle, long-term swing — courtesy of StocksToTrade.com

This trade took a while. My first entry was on November 2, 2018. To be perfectly transparent, I
took partial profits back in 2018 a few days after entering. Then, in February 2019, I added to my
position and also took profits again. The rest of my position I held until August 2020. My total
profits for this trade was $18,900.*

(*Past performance isn’t indicative of future returns. Just because I’ve made money in the past
doesn’t mean that I’ll make money in the future. What works for me might not work for you.
Trade at your own risk.)

Here’s another more recent trade. This one was a bigtime IPO win for me…

Applied UV, Inc (NASDAQ: AUVI)


Applied UV develops, designs, and manufactures disinfection systems. The systems help elimi-
nate healthcare acquired infections (HAIs).
Check out the AUVI intraday chart from August 31:

AUVI chart: Aug 31 intraday, SUPER IPO trade — courtesy of StocksToTrade.com

This one was intense. When I alerted it, I thought it would be a swing trade. (As opposed to a
day trade or a scalp.) I told my students to NOT chase this one and only trade if they had a plan.

As you can see from the chart, this IPO ran like crazy and met my goals. I took partial profits
right near the top. Then the stock started to drop and got halted due to volatility. Coming out of
the halt I exited the rest of my position to protect profits.

That discipline made this one a SUPER TRADE. How often can you make six figures in a couple
hours? Yes ... six figures. This was a 71% win for a pretty incredible $106,667* in profit.

(*Please note: my results are not typical. I’ve spent years developing exceptional skills and
knowledge. Always remember trading is risky. Never risk more than you can afford.)

Swing Trade Patterns: The Beauty Behind Ignored Stocks


Did you notice that the charts look similar? Especially if you look at my entries and exits. Keep
in mind, the first chart is over a three-year period and the second chart is only one day. But if you
look at my entry and exit points, the similarity is striking.

Now, I don’t only make ‘chart’ trades. Again, my favorite kind of trade is a swing trade. But when
the trade works, it’s amazing how similar the patterns can be … no matter the time frame.
The awesome thing is, you can learn the catalysts, the patterns, and the process. It takes time
and effort, but once you start to put everything together, it all pops out at you.

Another thing … sometimes the patterns repeat. That’s why on winners I like to take partial prof-
its and then let the rest run. And this can help you plan your moves in advance.

Of course, the patterns don’t always play out the way you expect. Trades don’t always work. But
once you learn to make — and stick to — a trading plan and set your risk levels, you can have
more control over the losses.
Screening for Potential Trades
It all starts with screening. Since I have three main strategies, I use different screens for each. I
specialize in finding value growth stocks and momentum news plays. But I also teach students
to never just jump into a trade as soon as they hear the news. I teach them to find an entry that
isn’t chasing.

Another thing I like to focus on is low-float stocks — like AUVI above. Low-float stocks with high
trading volume can be quite volatile — but that makes for the big moves I like.

My Favorite Strategy
Let’s take a look at another recent swing trade. On this trade I’ll show all of my entries and exits
on the chart...
Itamar Medical Ltd. (NASDAQ: ITMR)
Itamar Medical develops and manufactures devices to help diagnose sleep disorders. The com-
pany was an earnings winner back in January when I first bought the stock.

Check out the year-to-date ITMR chart:

ITMR chart: YTD, daily candle, super trade — courtesy of StocksToTrade.com

As you can see on the chart above, I added to my position and also took partial profits along
the way. This is one of the strategies I teach as long as the trade thesis holds. I also understand
how the overall market is acting — like the big dip in March.

Notice I used that dip to average down. That’s not something I’d usually recommend — especial-
ly not for newbie traders. But in this case I was happy with the company’s fundamentals. And I
believed the market would bounce back after the correction.

Again, trades don’t always work, but this one turned out to be an absolute SUPER SWING. It was
a 51% win for a beautiful $55,300 in profits.*

By now, you probably understand why I’m such a big fan of ignored stocks. Other traders might
shun them, but I’ll happily pay attention to them.
So… Now What?
There’s an opportunity to make money in the stock market if you know what you’re doing, if you
study, and if you’re not just looking for people to give you stock picks.

Plus, you can do it from anywhere. And my strategy doesn’t require you to be glued to the computer
screen all day long.

In fact, I created my strategy while I excelled at a demanding, full-time job.

So this strategy is perfect for people who want to supplement their income but can’t be glued to the
screen all day.

The good news is, the stock market will always be around. (If it’s not, we have bigger problems.)

Once you master it and learn to make money from it, you can always have it as a potential source of
income. For a few people, it can lead to financial freedom.

Anybody can learn the stock market, even if you have no experience. That’s the beauty of it.

You can learn this no matter where you’re starting from. You do not need a finance or accounting
degree.

But it does help to have a great teacher…

See, I didn’t have a teacher and I made some dumb mistakes at first. After a series of seriously bad
trading decisions, and faced with bankruptcy, I was ready to give up.

That’s when I started poring over charts from all my failed trades.

What I found changed my life.

And now I want to share it with you.

So join me for this special presentation...

ONE SIMPLE PATTERN


TO ESCAPE THE 9 TO 5
(TRADING STOCKS FROM HOME)...
If you like what you’ve seen so far and want to see if it’s possible to get to the place where you can
create your own schedule and call your own shots…

… then take the next step now.

2020 SwingTrades LLC All rights reserved

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