Why Do Stock Traders Love “The Power Spike Mechanical Stock Trading System” So Much?
The stock market offers incredible moneymaking opportunities. In fact, did you know that more than FIFTY BILLION dollars change hands every day on the New York Stock Exchange?
It’s really true. And there’s incredible opportunities to earn exceptional profits out of this huge river of money.
Trade systems are used by professionals to identify high profit opportunities and earn money. And stock traders across the country are raving about the Power Spike Mechanical Stock Trading System, making it a national phenomenon and a favorite for thousands of traders.
Why do so many stock traders have such devotion to this trade system?
** ADVANTAGES OF A STRONG TECHNICAL PATTERN TRADE SYSTEM
A solid technical pattern is what produces consistency, reliability and profitability in mechanical stock trading systems. These patterns consistently predict what the price is going to do next and they can be identified on a stock chart.
The Power Spike Mechanical Stock Trading System is based on a solid technical pattern called a “Power Spike”. A power spike occurs when the volume of one day is much greater than the average volume of recent days.
The volume of that day spikes up and stands out from the recent volume.
The high volume signals a moment of extreme emotional trading, people are leaping into and out of a stock very fast. It is a moment of impulsive trading.
A strong move in price often follows as a response to the high level of emotional trading. The power spike is a reliable signal that a strong move is imminent.
** MIND-BLOWING STOCK TRADING PROFITS
Huge profits is just one of the unique and outstanding features of the Power Spike Mechanical Stock Trading System. The big move that follows a power spike is often strong and covers a large distance.
Price movement is what becomes trade profit. And a power spike trade frequently yields double-digit profits within just a few short days.
The emotional trading occurring on the spike day builds internal momentum that is released in the price move. As a result, the price will cover a large distance and move very quickly.
The Power Spike Mechanical Stock Trading System has become a popular and trusted tool for many traders because it lets you get in and earn huge returns fast. You earn big profits very quickly.
And isn’t that exactly what we need?
** PINPOINTING POWER SPIKES
How can you find and identify this highly profitable technical pattern?
There are many ways to identify a power spike, but one technique works exceptionally well. Bollinger Bands are the key to using this technique.
Apply Bollinger Bands to the volume data. A power spike occurs when the volume penetrates the upper band.
The amount of the total volume appearing above the upper band determines the strength of the power spike. Stronger spikes increase the odds of a successful trade.
I recommend you only consider trading spikes where a minimum of 15% of the total volume appears above the upper band. When there’s less than a 15% penetration, the spike is considered weak.
An additional feature of this method is that it lets you rank and compare spikes in multiple stocks. A 38% penetration spike in stock “A” is preferred to a 21% penetration spike in stock “B”.
This method of ranking power spikes is a great way to make initial trade selections.
*** WARNING: A POWER SPIKE IS NOT A TRADE SIGNAL
By itself, a power spike is not a signal to get into a stock trade. The trade signal won’t develop until sometime after the power spike occurs, usually within a few days.
You must first know which direction the expected move is likely to go and when to pull the trigger and get into the trade before you actually invest hard earned money. And this will be determined by how the price reacts after the power spike occurs.
A terrific way to trade this incredibly profitable pattern is by using the Power Spike Mechanical Stock Trading System. It is a resource you should consider very seriously. Few technical patterns can match the reliability and profitability the power spike offers.
Does the potential of earning huge profits very quickly appeal to you?
Learn more about The Power Spike Mechanical Stock Trading System . Stop by Kevin Butler’s site today and get all the details. FREE STOCK TRADING VIDEOS: Get The Master Plan to Successful Stock Trading now & learn how to trade like a pro.