I use the World Record Pattern frequently to pinpoint the best and highest-upside opportunities so I can share them with my readers. In fact, in February, I used it to capture two 140%-plus winners in my trading service Technical Pattern Profits. On December 8, I noticed that DoorDash (Nasdaq: DASH) was breaking out of two World Record Patterns. I recommended the stock at $99.83 and the February $100 calls at $7.66. You can see what happened next... We sold the stock at $118.65 for a solid 19% gain in two months, and we sold the calls for $19.40, which came out to a whopping 153% gain! That kind of result is amazing, no doubt... but that 153% return barely cracked my top 10 biggest winners in Technical Pattern Profits. That shows you just how powerful tracking chart patterns can be. And what's especially great about the World Record Pattern is that you often don't even have to wait that long for a big move. On January 23, DraftKings (Nasdaq: DKNG) was breaking out of a World Record Pattern. And this time, the move was even quicker. Just two weeks after we opened the position, on February 9 - the same day we sold DoorDash - we grabbed a 15% gain on DraftKings stock and a 140% gain on the March $40 calls. The next morning, one of my readers, Tad, emailed me and said, "I bought the DraftKings $40 calls for $2.51 and sold them for $5.40. Thank you for the profits. We have seven grandchildren and we help our families out as much as possible." It's easy to see why the World Record Pattern is one of my favorite chart patterns to trade. Independent studies have also shown that it's one of the most reliable. After examining over 38,000 chart formations in his famous Encyclopedia of Chart Patterns, Tom Bulkowski concluded that the World Record Pattern is the "best-performing chart pattern in both bull and bear markets." As part of his research for the Encyclopedia, Bulkowski studied 307 separate instances of the World Record Pattern appearing in a stock's chart. Incredibly, every single one - yes, all 307 - led to gains of at least 5%. He was so struck by his findings that he began the World Record Pattern section of the Encyclopedia by writing, "I am in love." You always wish you'd known then what you know now. Had I understood the power of chart patterns earlier, I could have been much more effective as an assistant on the trading desk. But I'm grateful that I found technical analysis and the study of these patterns. Understanding how they work helps you reduce risk and increase profits. I can't imagine trading without them. Good investing, Marc P.S. Investor's Business Daily says that being able to identify the World Record Pattern could "set your portfolio up for the ride of a lifetime." To learn how to harness the full power of the World Record Pattern, I recommend watching my quick instructional video here. |
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