Here’s how I’m trading CrowdStrike ($CRWD) (June 10, 2021)


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I want to look at CrowdStrike Holdings ( NASDAQ: CRWD ) today and this is why; I just put this on our Active Trade List. I keep active trades for our members so they can see entries, stops, exits, and things like that. I think that is better than just saying, hey, buy this, and then leaving everybody to their own devices.

I thought I would explain in this video why I did this. There are a couple of things going on, first, this stock is still in a consolidation pattern. So the real bonafide breakout would really not be until 250.00. Once the stock hit 250.00 that is when a breakout buyer would really be onto this stock. They would see this big move up here. Then they would see a multi-month, 6-7 months of consolidation and then a continuation and they would be really happy with that.

Well, me too. But I am just looking at it in a little bit tighter time frame and for the time being, I am looking at this as the top of the box. And I am seeing that perhaps we could get a move up to 250.00, which is 22 points. That’s not bad in my book, but this would be kind of an early entry.

You want to get this kind of move early and then when or if the stock breaks out above 250.00 that is when you would actually buy some more. If you look at this stock, the way it’s trading, there’s a low, there’s a higher low, and then a higher low still, and a flat top. This is exactly the kind of thing that you want to see as a setup for higher prices.

That’s the way I am trading this. Buy it here, buy it again here. If it runs up a little bit and then pulls back and forms yet another low that starts moving up I will even buy it there too. You want to be trading the zigzags, that’s really what you are doing. Buy it, buy it again, maybe buy it, buy it again, buy it again, and again and again.

That’s how you are going to make big money. If you are not able to take these stocks on a trip that has several zigzags in the road you are ultimately going to become a day trader. You are going to buy at 9:35 and sell at 9:40, wondering why you are never making any money.

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