Buying Stocks by the Basket

In the past, I've talked about trading stocks in a basket, as I know Bob Byrne has as well. Frankly, I took much of that concept from his teachings and our conversations. I believe this concept can extend beyond just sectors. I am using it now to basket-trade stocks that have the same or similar technical setups.

This morning I bought a group of 15 stocks all based on similar price patterns and technical setups. On the price side, I certainly prefer stocks which are breaking out to new highs, but even stocks pushing past resistance of the past two to three months will fit the bill. I want to see a bullish MACD crossover with a CCI over 100 and rising. An added bonus would come from a Bollinger band which had been contracted and is now starting to expand....296 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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