BAM — New 52-Week High Discovered

Yesterday, we looked at a Keltner Channel chart of Taiwan Semiconductors MFG, and noted that it was on a pullback from being overbought.

Today’s Chart of the Day is a Daily Price chart for Brookfield Asset Management Inc. (NYSE: BAM).

Brookfield Asset Management is one of the largest, leading global investors in real assets. It focuses on real estate, renewable power, infrastructure and private equity assets.

And it’s been on a bull run for a year now.

You see, the Daily Price chart below shows that BAM has been making a series of 52-week highs for the last year.

click to play

Plain and simple… a stock just doesn’t hit a new 52-week high unless it is in a very powerful uptrend.

But you’ll almost never see stocks in a price uptrend advance in a straight line.

The stock price always retraces along the way.

BAM experienced periodic price pullbacks during its strong advance for the last year… allowing traders to get in at lower risk entry points after a 3-5% retracement. The stock normally resumed its price uptrend after such retracements.

We’re going to keep following BAM and watching it climb higher, while we wait for price retracements.

In other Chart of the Day news…

On November 5, we highlight Apple, Inc. (NYSE: AAPL) and pointed out it had also been making a series of 52-week highs.

If you happened to have purchased AAPL shares on that day, you’d already be up 2.08%!

But… if you had purchased the right option contract, you would be up 30.8% in just nine days.

That’s the power of options!

And that’s exactly what my PowerTrend Options service does for you — it shows you which option contracts to use to beat the gains of simple stock purchases.

Click here if you missed the webinar that explains the whole system.

Best Regards,

Chuck Hughes
Editor, Chart Of The Day

Chuck Hughes

Written By Chuck Hughes

Before Chuck Hughes won 10 Trading Championships, he was an accomplished Air Force pilot. In fact, he credits his success as a stock and options trader to his disciplined upbringing and career. When he was deciding between a career in the Navy and a career in the Air Force, the Navy told him he’d only have a 33% chance of flying jets. The Air Force gave him 100%. He liked those odds better. 35 years ago, Chuck had a wife, a young daughter, a son on the way, and a huge mortgage to afford. He didn’t want to give up on his lifelong dream and stop flying for a major commercial airline. He knew he needed to supplement his income during the 15 days a month he wasn’t flying. So he used his experience in discipline and math, and his understanding of finance and the stock markets (which he’d always been interested in,) and opened a $4,600 trading account. He made over $460,000 in profits his first two years of trading, and he hasn’t looked back since. When he was diagnosed with Meniere’s disease 15 years later, which commonly leads to vertigo…He knew his career as a pilot wouldn’t last much longer with those odds. But he didn’t have to scurry to find another gig, or panic about how his family would eat… He’d spent the last 15 years perfecting his system and raking in cash. As an options trader, Chuck does not let his emotions get in the way of his trading strategy. He adheres to disciplined and methodical options and stock trades. Because he respects the options game so highly, and understands the true freedom that financial solvency can bring, Chuck was able to design and refine his system and win those 10 Trading Championships. Put simply, Chuck Hughes’ trading strategies work, and in all types of market conditions. They’ve worked throughout the bull, bear, and flat markets America has seen in the last 30 years. Chuck Hughes has spent that time building a reputation as one of the most trustworthy options traders in the industry. His publishing group Legacy Publishing LLC was one of the few trading groups on the planet to have correctly predicted and profited from the 2008 financial crash .As a published author 16 times over, a 10-time Trading Championship winner, and an options-trading teacher for 25 years, he’s learned to trade and teach without an ego.