Trading 101: Basura Plays
Some people define "Basura Plays" as an act of making money especially when the general market sentiment is down or boring. These plays are observed to be very volatile especially on bloody days when it stands out. And strangely, in almost every instance during the early course of its run, a good rumor gets "leaked"
- turning some people mad.
"Give me a piece of that delicious PIE!"
Question: So how do we spot these basuras before they fly sky-high?
Answer: It's all in the Charts!
Here are a few examples:
MR = Major Resistance
NR = New Resistance
NS = New Support
RB = Resistance Break
RT = Resistance (Touching)
ZHI Potential Gain from Point of Breakout to Top = +571.57%
PWR Potential Gain from Point of Breakout to Top = +1,021.15%
MIC Potential Gain from Point of Breakout to Top = +65.08% AR Potential Gain from Point of Breakout to CURRENT Top = +33.33%
If it touches the major resistance but doesn't break it, add the Basura to your watchlist. Pullbacks would then be good opportunities to put your initial positions. For big traders, they call this accumulation.
A break from the major resistance would then confirm the continuation and beginning of a new plane of upsurge.
I won't be babbling about taking profits because I suck at it. KKG (Kanya Kanyang Greed) Nalang!
Just make sure you get out before the music stops.
Holding a bag of trash ain't very pretty.
"Uhhh... What Now?!"
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