How to Trade a Secret Momentum Signal

Trading momentum stocks can be incredibly difficult. June 16, 2014     How to Trade a Secret Momentum Signal   The industry that leads the market's most explosive stocks Building big bases Plus: What's next for Russia and natural gas?   Greg Guenthner coming to you from Baltimore, MD... Greg Guenthner Trading momentum stocks can be incredibly difficult. One minute, you're making outrageous gains. Then, in less than a blink of an eye, the market turns and your favorite momentum plays stop working. Even worse, if you don't get out in time, you stand to lose every cent you made on the run higher... maybe more. But there's a way you can monitor momentum stocks. If you know what to watch, you can use the signals in advance to buy momentum names at the right time--and sell before other traders ditch these stocks and drive down prices. The trick is finding the hot sector or industry that's leading the pack. Since early 2013, I've contended that 3D printing stocks have been "the tell". These stocks were among the first to shoot higher in January 2013 as the market began its huge push higher. And 3D stocks were also the first popular momentum names to signal trouble ahead at the start of this year. They topped out in early January, while social media and other momentum shares don't peak until early March. 3D's performance so far this year has flat-out stunk. 3D Systems Corp. (NYSE:DDD) has lost nearly 47% year-to-date. However, if DDD and other 3D printers can catch a bid, it's possible that other former momentum stocks also get their acts together... Despite the dreadful year DDD has endured, shares could be close to bottoming out. Heck, the stock even caught an analyst upgrade this morning (I don't really care one way or another about upgrades, but it could spark a little buying today once the bell rings). Aside from a fake-out move that quickly faded, shares of DDD have been stuck just below $50 for well over six weeks now. While that might seem boring to you, it's actually a good thing. It looks to me as if DDD is slowly building a new base here... You have to watch DDD and other 3D printing names as we begin the new trading week. If these stocks catch a bid a quickly make a move, it could signal another leg higher for many of the momentum names traders left for dead months ago.         FINAL REMINDER: Please "Cancel" Immediately *Offer closes at midnight tonight* If you currently subscribe to any of the following Agora Financial publications, we urge you to cancel your subscription immediately: Lifetime Income Report   Technology Profits Confidential     Outstanding Investments       Penny Stock Fortunes         Addison Wiggin's Apogee Advisory           Capital & Crisis Why would we make such an unusual request? Click here to find out.           Rude Numbers Targets, Predictions and Wild Guesses   279 rebels were killed by the Iraqi army over the past 24 hours. According to Bloomberg, Sunni Muslim insurgents have captured large chunks of territory north of Baghdad... $107 is how much you'll pay for a barrel of crude today. Oil is now at its highest price in nine months thanks in part to renewed fighting in Iraq... $1,281 is where you'll find gold futures this morning. If this move higher holds, gold will have posted six straight trading days of gains... $3.05 is the price of copper today. Dr. Copper avoided a breakdown near $3 by picking up some buyers near $3 late last week... 1,922 marks the spot for S&P futures just before the bell. Stocks are looking to open in the red to begin the new trading week...     Rude Trends When to Buy... When to Sell   This just in: Russia is cutting off its gas supply to the Ukraine. According to media reports, gas is still flowing to the European Union. But Ukraine is out of luck for the time being. Apparently, their credit isn't good with the Russians anymore... "Ukraine said Russia cut gas supplies after demanding fuel payments be made in advance, the first time fuel shipments have been affected in this year's crisis in relations between the two countries," Bloomberg reports. "Russia is only providing enough gas to Ukraine's pipeline system to meet demand from European customers and not the country's domestic supplies, said Andriy Kobolyev, chief executive officer of Ukraine's state gas company Naftogaz." I have a feeling this story will get buried before your lunch break today. Why? Because ISIS and Iraq are going to steal all of the headlines today. ISIS a newer, more exciting story. But that doesn't mean the Russian gas story will fade away. In fact, this all part of a story we've been monitoring for some time now. Here's what you need to know before it boil over... [Ed. Note: Send your feedback here: rude@agorafinancial.com - and follow me on Twitter: @GregGuenthner]     Ignore At Your Own Peril Today's Must Read Links   This Secret Savings Account Pays You 7% Interest! Elite Banker Abandons Job for Radical New "Banking System" "Hidden" Treasury Document Plans to Devalue Your Money     BE SURE TO ADD dr@dailyreckoning.com to your address book.       Additional Articles & Commentary: Join the conversation! Follow us on social media:         The Rude Awakening is committed to protecting and respecting your privacy. We do not rent or share your email address. By submitting your email address, you consent to Agora Financial delivering daily email issues and advertisements. To end your Rude Awakening e-mail subscription and associated external offers sent from The Rude Awakening, click here. Please read our Privacy Statement. For any further comments or concerns please email us at rude@agorafinancial.com. 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