Tuesday, May 2, 2017

VOLUME REVERSAL TUTORIAL - MARTIN MARIETTA - MLM from Mark Leibovit

From the desk of top market timer Mark Leibovit:


Looking back at my trades over the past 18 months, one of the most frequent and profitable trades occurred in my 'Trump' cement-stock pick, Martin Marietta Materials - MLM. As a result, I wanted to highlight MLM in today's video along with mention of my upcoming May 9th Webinar and my weekly WALL STREET RAW radio show which will be expanding to additional 19 radio stations across the country.

The basic premise of my Leibovit Volume Reversal (VR) (tm) is the volume precedes price.  A Positive VR should lead to high prices while a Negative VR should lead to lower prices.  This is simply a reflection of upside or downside momentum generated when increased levels of volume hit the marketplace on an upswing or a downswing.

There are three versions presented in the 'Add-on' subscription: Sequential which posts or Positive and Negative VRs, Directional which discards repetitive Positive or Negative VRs and 2-Day which is based on the premise that following a Negative or Positive VR which see momentum in the direction of the volume for 2 trading days.

I also tie a 5/3/3/ Stochastic to my thinking wherein a rising stochastic accompanied by a Positive VR usually triggers a long trade while a declining stochastic accompanied by a Negative VR triggers an exit of a long position or a short.

In the attached video, I examine MLM on both a daily and weekly basis, though my preference for trading is the daily chart. In the example shown, most recently a Leibovit Positive VR was generated on April 19 accompanied by a rising stochastic.  The result?  Four more days of rising prices.  We went long at the VRtrader.com Platinum service the next morning at 212.63 and sold it 224.00 on April 25 for a respectable $11.37 profit.






Link to Saturday, April 29  - WALL STREET RAW RADIO show:  http://tinyurl.com/mvq6xwa

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