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Wind to our Backs – A constant support!

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Purchase this week’s picks here.  Screen Shot 2014-12-08 at 2.42.28 PM

The following explanation shows why our picks are effective.  Each Friday at Midnight MST,  we post a new set of  2o picks, suggestions that have gone through our proprietary scans, for use the following Monday or whenever you see a buy signal as you review them.   Each set of 20 suggestions is priced at a low price of $7.95. for each purchase.    We chose not to offer a subscription, but to allow you to purchase a week’s suggestion at your discretion and on your time table.

Wind to our Backs!  Rolling Stocks

Are all Rolling Stock picks winners?  Only a fool in the market ever considers 100%!  The most successful traders/investors understand that fallacy to be just that, a fallacy.  Rather, success comes to market participants who understand the principle of magnifying winners and minimizing losers.  How have we done with our weekly Rolling Stock picks?
Look at the weekly pick results below, with the level of success stories magnified by the green listings.  These are companies that have increased in value since the date of the pick.  It is from this data base that we must exercise risk management skills to enjoy the green and thwart the red, not a trivial effort.  But it is so much easier with the wind to our backs.
Look first at the macro-view of all of the most recent 26 weeks displays.  This simply shows how the picks each weeks are displayed with the corresponding % increase/decrease since the date of the pick!  Note:  All pick examples here are for only the main picks.  Additionally, 10 low cost (under $5/share) are included each week.

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Fig. 1   26 weeks of Rolling Pick Performance

Let’s examine the pick display, four-weeks at a time, starting six months ago.  Look carefully to understand the message with this visual (Point: Green results evidence the sustaining Wind to the Back)

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Fig. 2  Four-week snapshot of pick performance, 23 weeks ago.

Each window in the graphic includes the 10 main Roller picks, made on the date indicated.  The ticker price on the Date of the pick is shown, the percent gain/loss to the current date.  First observation, Green is Good!  The trk% gain is the increase since the day of the pick.   For example, MERC, picked on 9/6/14, at a price of $10.08, has increased over 41% in 28 weeks.  That’s an APR of over 80%.  Whereas, HAL at $67.45 decreased 37%.  It should not surprise us there are winners and losers. But using the teaching tools we provide, ie the book, Provident Investing, the 8 lesson course and the dozens of free guidelines,  loss is minimized!
The next graphic repeats the chart for a more recent four-week set.  The numbers speak for themselves, just remain aware of the predominance of Green!

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Fig. 3  Four-week snapshot of pick performance, 19 weeks ago.

What we observe in the last two graphics are important positive returns on what is really a buy & hold trading platform.  But I thought this was a Rolling Stock effort!  Let’s examine this premise.  Trading, first and foremost, is a game of probabilities.  All any trading system or plan give us is an edge, a favorable bias, something more likely to happen than not.  I recall many years ago when first introduced to Rolling Stocks I thought I’d found the Holy Grail.  What could be simpler, just buy at the bottom of the roll, sell at the top, and go sit on the porch!  After much heartache I realized nothing in the trading game is that simple.  Rather, trading successfully IS possible if due diligence is exercised in learning to work with the tools we teach, and it is a very emotional journey unless you understand how effective discipline is!  Here’s the next set of Rolling Picks:

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Fig. 4  Four-week snapshot of pick performance, 15 weeks ago.

Less green on balance with these four week results.  The problem with all trading is we never know when the big trade gains are due to arrive.  We must be in the game to capture the wins when they do occur and manage the losses.   All we can hope to do is increase our odds, the probabilities of our success.  Much has been written and money spent on mechanical trading systems where the computer makes all our decisions.  What works best for me is a combination of a rule based system with my own added discretion.  In some cases I trade when a positive reward/risk setup says things are lined up, but I add my own discretion as to when and if to initiate the trade.  Other cases I feel strongly inclined to trade because of some emotional factor, but let system rules have veto power.   Those can be learned and must be if your success is consistent and understood.

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Fig. 5  Four-week snapshot of pick performance, 11 weeks ago.

Any one can find rolling patterns in retrospect, after the fact.  But a great deal can be learned by looking the other way, back in time.  Select a company with positive indications, whatever you find helpful, and simply scroll back in time on your charting software.  Look for what it has done in the past. The reason “Paper Trading” has such a bad odor in many quarters, is because the transition from Paper to Real can be such a shock.  The best of skillful practice and rational thought can fly out the window with the market doing its thing!  The market is the market and it changes continually, never repeating itself precisely!  The point here is that practice (paper trading, going back in time, etc.) helps.  Its been said that “practice makes perfect,” but that is quite wrong.  “Perfect practice leads to perfection,” is a better rendition.  “Leads to,” is another operative phrase, where the journey never ends.  We can make the transition from paper-trading to real money so long as we never lose our humility in the market.  If we lose that, we’re in serious trouble.

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Fig. 6  Four-week snapshot of pick performance, 7 weeks ago.

So, where is the value in the Rolling stock picks?  I hope you’ve noticed all the green in the pick performance shown in this post.  But there is a reason for that housed in the pick algorithm used each week.  We have used a “Wind to our Backs” mentality since we began publishing picks 18 years ago.  Distance runners, such as marathon participants, learn to appreciate and treasure the occasional breeze from behind that drops minutes from their final time. This “Wind-to-the-back” mentality has been a Pro-fundity motto for many years. While the focus of our trading mindset has been short term swing trades (e.g. rolling stocks), we place important attention to company fundamentals in selecting a data-base for picks.
This market bias-to-the-positive underlies the trading strategies, methods and techniques we study and use.  We review how it all works, by looking at shorter term rolling stock pick performance along with valuable market wisdom.  The positive returns shown in the Rolling Stocks performance, highlight the value of short term strategies with the ever-present “wind to our backs” mindset of a good fundamental base over the given time-frame!  Accelerated earnings play a key role in our selection algorithm.  That means the fundamental structure of picks made each week depends on a “wind to our back,” focus that is always a strong part of the structure of our selections.

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Fig. 7  Four-week snapshot of pick performance, 3 weeks ago.

That does not mean all picks will be winners.  Using the logic of a market friendly selection algo, it means more will be winners than losers.  That is evidenced by all the green in the pick performance graphics shown above.  It is within that sound fundamental structure, rolling stocks can be found and exploited for all they are worth, using the tools of the trade, and to increase your understanding of those tools we teach!
It is in this framework of positive performance that we ply the trader’s skills, actively selecting and trading Rolling Stocks for over 18 years.  Consider also how this method can improve buy & hold returns (see the green!).
Rolling Stock picks are available weekly, 20 picks (10 main and 10 low cost), for $7.95.  Note:  All pick examples in this post are Main picks.  Additionally, 10 low cost picks (under $5/share) are included each week.  These are each one-time purchases, no subscription or contracts.

Get the Wind to your Back!

 1.  We’ve shown how picks are made from a fundamentals data base, keeping the wind to our backs, as we utilize trading skills to magnify returns.
2.  We’ve perfected our trading skills using Rolling Stocks as a vehicle with picks made as shown.
3.  Our trading success over these 18 years has been ever-improving, seeking the better way, magnifying lessons-learned, always remaining fluid with ever-changing market conditions, adjusting to wind corrections as they occur.
4.  Our modus operandi has ever been education, the focus of our site and offerings.

Purchase this week’s picks here   Screen Shot 2014-12-08 at 2.42.28 PM

 

 

For a deeper insite into how thought affects success, consider what is offered on this following link:   I endorse completely what Leslie Householder teaches. www.thoughtsalive.com

 

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