Vlad’s #1 Pumped-Up Trade!

Vlad’s #1 Pumped-Up Trade!

Hi everyone and welcome to the Yellow Tunnel community, an aggressive short-term trading service dedicated to all classes of traders seeking to elevate their trading skills, market awareness and trading profits.

Momentum begets momentum, and we’re definitely in a momentum-driven rally being fueled by some strong earnings from a few high-profile cloud software companies, employment data that didn’t come in as soft as feared, renewed talk of a Congressional stimulus plan and seasonality about a strong year for stocks having a strong finish.

NEW WEEKLY POWER TRADER SERVICE

We recently launched our new Weekly Power Trader service that we at Yellow Tunnel are very excited about. Each week on Sunday, our expert traders use our AI Tools to provide the Top Bullish and Bearish Stocks, each with an Entry Price, Target Profit, and Stop Loss.

Also, note that the Weekly Power Trader signals are meant to last for 5-10 days as long as the vector confirms the same direction as the original pick, for stocks we use a target gain of 2% and stop as 2% of the stock price.

Signals have averaged over 75% accuracy in my live trading since inception. Sometimes we hold position 2-5 days by using options (selling OTM BULLISH PUT spread) and targeting 1% target gain and 1% stop loss using stock price. Green color should be interpreted as a bullish signal and Red color as a bearish signal.

CURRENT TRADING LANDSCAPE

So, I have to admit I am kind of liking this quarantine, part 2.  Unlike the first episode, I already know the plot, all the up and down moments, as well as the likely ending.  It’s cold outside and the less I have to step out into the cold, the better. The kids are home, the activities are cancelled, the fireplace is on and it almost feels like Christmas came early this year. If they only cancelled online sales and my wife would step away from the computer, this would be like a dream come true.

The SPY continued to make incremental gains and trades near the all-time high.  Both Technology (QQQ) and Value (VTV) stocks are facing major overhead resistance levels.   The market is due for a shallow pullback back to the $350 level in the next 1-2 weeks. Market volatility can pick next week due to November Unemployment numbers tomorrow.

The $350 level is key support for the bulls. I expect short term corrections to be shallow and the bull's rally to continue. The market gains have been selective and bullish momentum is deteriorating. 

As long as the SPY is trading above the $350 level, the SPY will break out from the current range to the upside and potentially can reach the $370-$385 level by the end of this year.    

The U.S. Dollar ($DXY) is trading at a two-year low and U.S. Treasuries (TLT) continued to trade in the downward channel. GLD and SLV have started their bottoming process. Value stocks continue to lead the market (BA, CCL, DAL).

My opinion has not changed. The bull market has resumed its rally and will retest recent highs in December. I would be a buyer using any short-term corrections and use dollar-cost averaging strategy to accumulate positions at this level. If you are trading options consider selling premium with February and March expiration dates.

"BUY" signal based on the Aggressive Power Trader Portfolio for tomorrow is at $356 level using SPY and "SELL" signal is at $367 for short-term traders.   

Based on our models, the market (SPY) will trade in the range between $340 and $370 for the next 4 weeks. Based on the aggressive trader monthly predictions, the market will break through the $360 level in December of 2020/first quarter 2021.

How To Use Our Signals

Once you become a member, I encourage you to review our Live Trading Room recordings to see how I trade Aggressive Power Trader signals in my account. A snapshot of how we produce our Live Trading Room Sessions shows how we pack in a lot of information that can be accessed from whatever device your driving.

As a reminder, consider buying near the "BUY" level with a "10 days prediction" higher than the close price. In our live trading room, I usually hold a position for 1-2 days.

I allocate less than 5% of my portfolio if the position is being held overnight. On average, less than 1% of the portfolio should be at risk, if you own a position for less than one day.

I enter a position at the predicted LOW (BUY) price or yesterday's close price. My stop loss is 1% and my target gain is 1% of the stock price. I target 75% accuracy using these signals.

Few subscribers asked about Options trading using the signals provided. Please review live trading room recordings. I often sell OTM credit put spread using weekly options and collect 0.5% using stock price. For example, if the stock is trading at $100, I would sell OTM put (strike less than 100) with option BID price close to $0.5.

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SECTOR SPOTLIGHT

Without question, the surprise of 2020 has been the recovery in the energy sector. I can’t think of a more under-owned sector among the 11 sectors that make up the total market, but the 35% rally off the lows in just the past few weeks has just been eye-popping and incredibly impressive.

The last time the energy patch rallied so strongly was when war broke out in the Middle East. Considering the bearish narrative surrounding fossil fuels, one would have thought oil and gas would have never come back in fashion. But this week, they are giving the tech sector a run for its money in terms of luster and performance.

Shares of the Energy Select Sector SPDR (XLE) have made a bullish up to prior key resistance at $40, where if taken out, can easily trade to $45.

The top ten holdings in XLE make up almost 80% of total assets and with so many charts of these stocks putting in golden cross formations, there definitely looks like there is technical room to run.

After trading at $80 in early 2018, XLE has put in a quintessential double-bottom, higher-lower pattern over the past nine months, building an excellent base to trade off of from the long side. Dips should be used to trade XLE and our Weekly Power Trader service is just the right set of tools to manage this strategy.

This is where our timing of our AI tools is so valuable. I intend to trade the sector, but not until our AI-driven system triggers a buy signal. Having our Weekly Power Trader service will get us in and out at just the right times.

TRADE OF THE WEEK

One of our trademarks at Yellow Tunnel and the trading services we offer is that we only trade large-cap, blue-chip stocks and the most institutionally traded ETFs. Our AI platform responds best to these high-quality assets and is why this week’s pick is the top holding in XLE – Chevron Corp. (CVX).

Chevron is the institutional darling among all energy stocks. With a $180 billion market cap, a fortress balance sheet, a 5.5% dividend yield and an integrated business that include exploration and production, refining and distribution, the company provides the most comprehensive investment proposition for traders to work with.

From a technical standpoint, shares of CVX have cleared key resistance at $90 and are now free to trade back up to $105 as the next price target.

Our AI platform tools are bullish on the near-term prospects for CVX. The Seasonal Chart has all four Probability Readings posting “Higher” readings. Very bullish!

With the stock trading at $93, there is excellent profit potential if the current trend cooperates and traders are provided the right entry and exit strategies. That’s exactly what we provide with Weekly Power Trader.

When our AI platform rates stocks, it takes into account numerous proprietary indicators that are updating around the clock 24/7. My AI platform is always thinking, always learning, which provides a stream of profitable trades for our members.

By being a member of Weekly Power Trader, you’ll be sure not to be left out if and when we move in and out of GBTC when our indicators tell us to act. This is a great time to consider joining, as market volatility and the promise of a powerful sector move make for an opportunistic trading landscape.

Our Weekly Power Trader advisory service takes positions in only blue-chip stocks and ETFs that are “green lighted” by my proprietary AI tools, and when confirmed, are added to the portfolio with my investment capital invested in each and every trade.

Trading Thoughts: consider buying near the "BUY" level with a "10 days prediction" higher than the close price. In our live trading room. I usually hold a position for 1-2 days and allocate no more than 5% of trading capital to any single trade.

I allocate less than 5% of my portfolio if I hold a position overnight. On average, less than 1% of the portfolio should be at risk if you hold a position for less than one day. I personally look to enter a position at the predicted LOW (BUY) price or yesterday's close price.  For Weekly Power Trader, my stop loss for stocks is 2% and my target gain is 2%.. I target 75% accuracy using these signals.

Through the Weekly Power Trader service, we tie our Tradespoon Live Trading Room to manage the parameters of every trade. And we update our closed positions daily. The two platforms work seamlessly to provide our subscribers with the most robust trading experience available anywhere in the market today.

Just during the past two weeks, we have rung the register on 12 straight winning trades, with excellent profits across the board. The beauty of our AI-driven system is that we are always equipped to bring new trades to our members. Trades in best-of-breed stocks and ETFs that are not yet recognized by the larger universe of traders.

We really pride ourselves on this kind of discovery process, to bring trades with very high probability risk/reward parameters to members throughout each week.

For those that have followed since inception, a $100,000 initial investment when backtested may have grown to almost $2.2 million dollars. This stellar performance is made possible by being right on over 77% of all trades with an average profit of 25.50% per trade. This performance is found nowhere in the marketplace for the low affordable price we offer to our members.

Once you’ve become a member to any of our service – Weekly Power Trader or Aggressive Power Trader, I highly encourage you to view the instructional videos on how to best use your membership and participate in live weekly strategy roundtable workshops that are also archived in the event that they need to be viewed at a later time.

Traders seeking the most-timely directional trading strategies where 3 of every 4 trades are profitable should take action and come alongside the Yellow Tunnel community and make Weekly Power Trader and Aggressive Power Trader your go-to AI trading platform for no-excuses performance.

Our AI platform crunches all the data, generating a constant stream of trades with the highest probability of generating incredibly profitable returns available to beginning, retail and professional traders anywhere in the marketplace today.

Go to our website at www.yellowtunnel.com and make the Weekly Power Trader service your default trading system where the AI that powers my all-world, always thinking platform.