Capitalizing on Winning Trade Alerts

You hear it all the time not to follow stock picks — and that’s true… 

You should never just blindly buy a stock because someone sends it to you in a promotional email… 

Stock pumpers are often compensated by the company or a third party to promote stocks… 

And following stock picks without any due diligence can lead to disaster.

But there’s a difference between following stock picks and using trade alerts to your advantage… 

Today I’m sharing how you can leverage trade alerts to find some of the hottest stocks and trades — without just blindly jumping in.  

When you see stocks in multiple places it can often signal an even stronger, higher-odds move. And who doesn’t want a piece of that action?

We saw how multiple alerts led to the potential for up to a 226% gain yesterday. Here’s how to trade them…

Capitalizing on Winning Trade Alerts

So, you wanna know how to capitalize on trade alerts? Well, I’ve got a story to tell you about a little stock called Rent the Runway, Inc. (NASDAQ: RENT)… 

This one went from being an earnings winner after hours on Wednesday going from about $8 to a high of $14, to hitting a high of $24 on Thursday morning. 

And guess what? 

You could’ve caught a big piece of the move with the help of some killer trade alerts.

First, you could’ve caught it after hours with the earnings alert…

Earnings Winner Alert

First up, let’s talk about Wednesday night. RENT announced earnings and the Breaking News Chat team sent this alert: 

4:03 PM EST: <Breaking_News_Analyst> $RENT Rent the Runway Q4 EPS $(7.02) Misses $(6.53) Estimate, Sales $75.80M Beat $74.10M Estimate

The stock was trading at around $8 and it shot up to a high of $14. 

But you can’t chase a stock that’s spiking straight up. So where’s the entry and trade plan? 

You can use the five-minute red candle theory… 

That gave an entry of around $12.30 when it breaks the candle body of the green candle before it puts in the red five-minute candle. Then you put your risk at the bottom of the first red candle body around $11.85. 

That’s 45 cents per share of downside risk with $1.50 per share of upside. Three-to-one risk/reward, just like we want. 

Next, I sent RENT out as a free alert to email subscribers… 

Free Email Alert

Another way traders got wind of RENT’s big move was through my free email alert. 

I send a free trade idea for the next day every night around 9 pm Eastern. If you’re not on the email list, join here. 

All you had to do was open that email, see the alert, and you were ready for the action yesterday morning. 

As with any earnings winner that holds its gap up, it was a watch for a break above the previous day’s high. (Or in this case, after-hours high.) 

Entering at a break above $14 still gave you the chance to catch a $10 per share move! 

Second Breaking News Chat Alert

In premarket yesterday, the Breaking News Chat team alerted RENT again due to the gap-up after earnings from the night before. 

Once you received this alert you could’ve entered on the dip and rip, or again, the break above $14. 

Or, you could’ve used Oracle’s entry signal…

Oracle Signal

RENT was on Oracle’s radar on Thursday morning as a stock with the potential to explode — and that’s what it did. 

Oracle’s entry signal was at $11.38. So even if you missed all the other alerts, you could’ve seen up to a 97% move just from Oracle’s signal.

See Oracle in action here. 

So, what’s the moral of the story here? 

Well, it’s simple really. Winning trades don’t just fall into your lap … You’ve gotta go out there and hunt them down — or have them delivered to you. 

Whether it’s through email alerts, Breaking News Chat alerts, or signals from your favorite trading algorithm — there are plenty of ways to stay ahead of the game. 

And when you do, the rewards can be downright legendary.

However, you always need a trading plan and risk level… 

StocksToTrade can help you with the tools you need and the mentorship to make trade plans — join me in the Daily Income Trader system today. 

The next big winner could be just around the corner.

Tim Bohen

Lead Trainer, StocksToTrade