Phase III : Advanced Stock Trading Strategies

Stock Trading Strategies Advanced Strategies

In this section you will learn stock trading strategies that can double your money. Up to this point you are familiar with analyzing financial markets. Phase I and II involve basic strategies that should be understood. You might have made a few profitable trades by now and are ready for the next level.  You should be familiar with stock charts and how to plot exit and entry points. The stock trading strategies listed below will make your stock trading more precise.

Phases of Stock Trading

Phase I: The Basics

Phase II: Breakout Strategy

Breakout Theory Trading System

Stock Scanning Services

To Learn Advanced Stock Trading Strategies         Click Topics Below

Short Selling

Up till this point you’ve learned to make money when stocks go up. Now learn how to make money when stocks go down.  Short selling is one of the many stock trading strategies that can double your profits. Learn how to sell stocks short.  Short selling stocks is just as easy as buying. However, the markets are faster. Typically a stock that goes up 20% in 30 days, can go down 20% in 1 day. The action is fast, and only experienced trader should try this.  Because you are using margin, the risk factor can be unlimited, and there is potential to have unlimited loses. Read More

Tape Reading

This is the oldest of all stock trading strategies. The art of reading the tape is the most basic form of technical trading. Price action and stock volume was the only information that was available in the early days.  Men who knew how to read the tape in the early 1900’s made millions. Today tape reading is still a valid and powerful strategy. This method can effectively enhance your trading skill. It adds more precision to your entry. You can prevent false breakouts, and sense the direction of price movement. It gives you an idea of buying and selling pressure on a stock. The edge you get from understanding tape reading is priceless. Read More


Increase your profits by buying more shares as the stock price goes up. Of all the stock trading strategies listed here, pyramiding may be the most powerful method to multiply your profits. As a trend develops you gain profits. Those profits are then used to buy more shares of stock. This maximizes the gains received from a major trend. This is a complex strategy that involves some simple calculations. Legendary traders like Jesse Livermore has proven that buying up always increases your profits. Again, buying higher prices is counter intuitive and many stock traders can’t grasp this concept. Read More

Scaling Into Position

To minimize risk and preserve portfolio value, many professional traders buy small amounts of stock at the beginning of the breakout. This method falls into the risk management category of stock trading strategies. Preserving your capital can be the most powerful method of making money. Many who are just starting to learn stock trading neglect this concept and are taken out of the game early on. Often times breakouts can be exhausted after such a volatile price move. By scaling into position, the trader reduces risk and has a chance to buy the stock at a better price. Read More

Market Confirmation

Market confirmation is on of the stock trading strategies that observe “price action” of stocks, and the equity markets. This concept views the markets as a whole. It is important to notice that markets move in lockstep. The Dow Jones index moves and some what correlates with the Nasdaq. Other indexes correlate as well. You will also notice that stocks move with the tide of the indexes as well. When buying breakouts it’s a good idea to see what the market is doing as a whole. You want a broader view of the markets. This will help you to swim with the current. When the market action gets very bullish the potential for breakouts arise. With market confirmation, trading breakouts have a higher probability of developing into large stock trends. Read More

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