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Ever notice how stocks sometimes get "stuck" in a tight range?
Most traders hate these periods… Traditional indicators become useless, it's a guessing game that usually ends in frustration.
But what if I told you these "stuck" periods could actually be goldmines?
Well, it can be.
And it's all thanks to something I call "Price Compression."
Here's the gist… When institutional investors box a stock into a tight trading range, they're actually setting it up for an explosive move.
The tighter the range, the bigger the potential breakout.
Take General Motors back in July… For weeks, it was trapped in a tiny $1 range.
Then it broke out… anyone watching the stock would have given up a long time ago or dismissed this breakout as not important. | |
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