Trading Examples

The stock recommendations you'll find here at CreateCapital are not your typical trades. They are designed to be "cycle trades" lasting from weeks to months.

The cycle generally runs technically from near-trough to near-peak or from hated to loved in market sentiment. And behind the trading aspect, there is usually some fundamental intermediate-term driver behind the stock. This methodology combined with risk management techniques is a recipe for keeping a low risk profile.

The first three charts are Verizon Communications (VZ). The first chart shows a thoroughly disliked stock, seemingly going nowhere technically and fundamentally. The mid-cycle chart shows increasing interest and some appreciation about half-way through the trade. The final chart shows the recognition of positive perceptions and expectations through price appreciation and a movement to near our price target.  

The next two charts are CBS (CBS). The first chart shows a company that was near death after the Credit Crash and had come back from the brink when we began to accumulate it. It seemed to be going nowhere but fundamentally was progressing signficantly without market acknowledgement. The second chart shows the stock reaching our sell target and today is even higher still.