Since October 2017, our earnings season strategy has made 94 trades in total with a win ratio of exactly 80.9%. Seventy-five winners, 19 losers. Our cumulative total return stands at 826.1%.
With earnings season upon us and the market extremely volatile, there is no better time to learn this strategy.
Best of all, as you will notice in the chart below, these are all one-day trades.
Often, I’m asked, “Why don’t you make more trades?”
Simply put, it’s all about quality over quantity. Anyone can make a bunch of trades and hope for the best, but we don’t want “hope” on our side, we want probabilities on our side.
We want to know exactly what our probabilities of success are for each and every trade before we even place a trade . . . and each trade we place usually has a probability ranging from 82% to 86%.
Remember, no one has a crystal ball. So, if you approach earnings with the “I think” mentality, trying to guess which way a stock will head after an announcement, you will fail, particularly over the long term. So, stop guessing and use an intelligent, sound, statistical approach. More importantly, use an approach that has proven to be successful over the long term.
Again, look at the track record above.
We take advantage of only the best opportunities the market has to offer. We don’t settle for mediocre trades just because we want trading action. If you want action, go to the casino.
In the past, earnings season was for speculators, day traders . . . aggressive investors willing to take big risks while seeking a home-run trade.
As we all know, home runs don’t occur often. In fact, the average baseball season witnesses just 3% to 4% of total at-bats going over the fence.
In the past, the percentage of hitting it big with an earnings season trade was about the same percentage.
But the earnings season game has changed . . . drastically.
Now we have the ability to place trades in specific stocks with an 80% probability of success using this earnings season strategy.
Also, earnings season trades are not affected by the current trend of the greater market. So, we have the ability to make a nice return even if the market is headed south. Just look at our performance since the pandemic hit the market. We are up 65.9%.
What about during the latter part of 2018? Most investors saw a drawdown of roughly 20%. Yet we made 70.9% during the last quarter of 2018, even as the overall market moved sharply lower.
If you want to learn more about this powerful, statistically-based, long-term strategy. You can get all of the details by reserving a spot in my FREE webinar.