by Shane Ormond
On Jan 21, 2020
Now that the Chinese factory is complete (and just in time for a deadly virus outbreak), self-proclaimed “Buff Mage” Elon Musk is turning his attention to Germany, where colonies of bats and unexploded World War II bombs threaten to undermine investor confidence. (Those are not metaphors.)
Yesterday, we looked at a Daily Price Chart of Humana, Inc. and noted that the stock had been making a series of 52-Week Highs.
Today’s chart is for CDW Corp. (NYSE: CDW).
CDW Corp. provides integrated information technology (IT) solutions to business, government, education, and healthcare customers in the United States, the United Kingdom, and Canada. The company offers discrete hardware and software products, as well as integrated IT solutions, including mobility, security, data center optimization, cloud computing, virtualization, and collaboration.
The Daily Price Chart below shows that CDW has traded in a clear bullish pattern of higher highs and higher lows since January.
Track the Price Chart from lower left to the upper right…
We recognize this bullish trading pattern, and know that it points to a further advance.
You see, typically stocks that make a series of two or more higher highs and higher lows reliably continue on in an upward trend.
So it’s important to pay attention to strong stock rallies, because they have pullbacks along the way.
These pullbacks present a buying opportunity for us.
Purchasing CDW after a 3 to 5% price pullback has provided a good entry point for the stock this year and has produced a healthy return.
Maximizing Our Profit Potential
On August 5th, CDW shares had a pullback after a brief period of being overbought. This pullback provided a great buying opportunity.
If you had purchased CDW shares on this day you currently would be up 30.77%. Not bad at all!
But…if you had purchased the right option contract on August 5th, you would now be up 236.64%!
That’s after only one trade! This is the crux of my premium trading service, PowerTrend Options. One options trade changed my life…
And I truly believe it can change yours too. That’s why I send you up to two trades per week in my flagship options service — to help regular people get one trade closer to designing your own life by your own rules.
If you don’t think you’re ready to trade options big time, I’ve built out a whole course just for that purpose…
You can use my training service, the Thunderbird Options Course, to learn how to use my “X-ray” system and place your own trades!
Editor, Chart Of The Day