Here is a full breakdown of my EOD swing trading system that: - Gave me 100%+ years since 2020 - Averages +50% CAGR since 1995 (based on 13k signal database) - Entering breakouts EOD (2-min before the close), - and trade 20min/day, with no discretion, and no stress I will use an example of a trade I closed yesterday in $BMY, following the 5 steps in the pic attached. --- Step 1: The first thing to trade momentum breakouts is to find stocks that made a new, fresh leg higher and established a new trend. I use the 50 EMA cloud (with 0.5 ATR 5 period above and below) as a base, when the market prints a strong first leg coming from this area, it means that it's the FIRST fresh new leg of an intermediate-term trend, and the price/time relationship in the higher time frames has been corrected, and we are EARLY. It's very important that it's the first leg and fresh; stocks that already had consolidations and are trading in their 3rd and 4th legs of the intermediate trend have a lower chance of having a successful, multi-day breakout. I've tested this big time, and first consolidations after first legs have a much higher success rate % over later stage consolidations: -> The later into the trend, the more extended it is, the biggest risk of a stop-out. --- Step 2: Then the stock will get in what I call the "perfect uptrend state", which signals when: • The 8, 20, and 50 EMAs are stacked up and trending, and • my CML indicator is GREEN (signals a perfect blend of momentum + linearity in a stock, looking at candle overlap for linear moves) At this point, the stock will be hitting my breadth scans, as we have those stocks in an ABSOLUTE state of momentum, and that's when they give the highest quality consolidations against the 8/20 EMAs to look for a breakout. --- Step 3: --> Look for the first valid volatility contraction pattern, riding the 8/20 EMAs layer. This is the step before the breakout, and you want to see the volatility contract, with the top and bottom trendlines converging together. This shows that in the case below, sellers are being absorbed, and buyers are about to break through the least amount of resistance, taking prices to major levels quickly. That's the foundational principle of the volatility contraction/expansion cycle, and we want to find these stocks about to make the expansion leg in the direction of the established momentum (or uptrend). What to look for in a high-quality consolidation here: > at least 7 candles of consolidation before a breakout > no close below the 20 EMA > see VCP characteristics (mainly a higher low for longs) > swing points should be defined to draw trendlines OR a horizontal line to trade from ( triangles and ascending triangle shapes only) --- Step 4: Now look for the breakout candle, breaking through resistance, and having a nice close. Some things I want to see here are: - strong body candle signaling buying into the close - body of the candle should be bigger than yesterday's candle - should be closing in upper range of the candle (marked by the 0.786% level most of the times) - for longs, stop loss size should be <= 2.5x ADR or ATR% for the last 20 days (to keep risk-reward in check) - Stop goes @ LOD, entering just before the close at 3:58pm EST --- Step 5: --> After the breakout, I ride the swing for 5 days, regardless of what happens. I've tested exits for my momentum breakouts from consolidations with over 13k signals as a database (including my live trades since 2020), and nothing beats a 5-day hold. I might have different trade management according to my timing model, which is not the scope of this post, but I can have for longs: - FULL LONGS ( 🟢 light) = exit at the 5th day full position - LONGS + PARTIALS (🟡 light) = take 40% partial at 1:1 RR, ride the rest until the close of the 5th day. My timing model is based on lots of breadth-risk parameters, will get into that later on. --- That's all I do, and I've been doing it for years now. You can check my track record since 2020, and I also manually gathered 10k+ signals in my Strategy Hub App (inside the community), which shows how my strategy performs since 1995. I trade with hard rules, no discretion, and follow my daily process to scan -> identify -> enter trades in the last 20 min of the trading day. You do NOT need to be hours in front of the charts, looking for trades, or making emotional, reactive decisions. You need: - a strategy - a daily process - base it EOD to be done in 20min/day You can have a life outside trading while still compounding at 50%+ CAGR with low drawdown, which is the whole point of this. If anything resonates with you, check out my pinned post in my profile with a 4hr+ masterclass on my setup, expanding everything I shared here. Go and do the work. You only have to do it once 📈

This is something I see many traders are going through. They still want to trade the stocks that were the strongest at the start of the year, but that can make you bleed constantly... What I do is simply run momentum scans, and let my process show me where the money goes... And for weeks it has been: - Healthcare - Software - Financials You can see my swing positions below, they are all from these sectors. I don't impose my opinions on the market, don't try to be smart, all I do and I ever did for years is just: > show up > run the scans > take breakout signals according to my edge > manage the risk > and let the market do the rest. If Software and Healthcare trigger all my longs, so be it. All I want to do is run the distribution of my system, execute, and I know over a large sample size + 2 market phases back to back at least I will be profitable. It's all about: 1) Momentum + 2) Volatility contraction/expansion As you can see below, I swing trade momentum stocks in the strongest sectors/themes, enter 2 min before the close (EOD), and finish up my daily process within the last 20 min of the trading day. You always want to trade and let your DAILY PROCESS tell you what to do, not your opinions or biases. Execute, and manage the risk. Nothing else to do 🫡