This is the trading playbook where the
charts do the talking and every session
makes you a better trader.
Hey guys, Lton here with Verified
Investing back with another episode of
the trading playbook. Happy Sunday
everybody and I hope you're doing well.
Now I have a couple things to say. First
of all, if you haven't already, please
like this video and subscribe to the
Verified Investing YouTube channel as it
really helps us out to continue to make
free content just like this. And if you
haven't seen yesterday's episode, go
ahead and watch yesterday's episode
before I give you these three actionable
trade setups. And this is one of my
favorite um episodes that I've done so
far just because we're going to go
through the entire process and you're
going to watch me in real time find out
three actionable trade setups uh a day
trade, a swing trade, and then a
long-term hold um in uh in real time on
these charts that you can potentially
take this upcoming week. All right. So,
with that being said, guys, let's hop
into this week's plays. Now, this is all
about putting everything together. So,
everything from gap fills to trend lines
to head and shoulders patterns to do to
golden crosses, death crosses, there are
so many different technical analysis uh
indicators and strategies that you can
use. But right, but the most important
part is being able to put it together in
order to find what works for you because
what works for you may not work for me,
right? So on and so forth. So let's hop
into it. Let me go ahead and share my
charts
and we can start with plan A.
So going into this, all I'm doing is
just checking. You see on the right hand
side of my screen, I have a watch list
of things that are moving, right? And
every single morning or night or
afternoon, whenever I'm looking for a
trade, I just put, you know, just sort
through the list, like click through
different stocks, right? And this list
is just a list of stocks that I like to
trade. Sandis, STX, Meta, uh, A, there's
some crypto here, too. It's totally
customizable and up to you. This is just
things that I prefer to trade. And the
very first thing I do every single
morning when I'm looking to day trade,
we're talking about day trades here, is
I go here and just look at the sorting
by percentage change, right? Just what's
moving the most. And if this is
pre-market, you can click here by EXT,
right? Extended trading hours, right?
So, I'll look, hey, Qualcomm, is there a
potential trade here? It's coming down
5%. Where is the next level of support?
And I'll go do something like this.
Okay. Well, the next level support is
somewhere down here. There's a nice gap
fill um plus potentially a trend line,
down sloping trend line, right? Okay.
There's going to be support here around
169, right? But that's quite a ways
away, about 5% lower. So, what I'll do
is I'll go ahead and set an alert to
remind me when it hits there and I'll go
look at something else. But that's not
quite close enough to be on my radar for
today. Netflix fell about 5%.
But I don't really love it for a trade
until 65 bucks and that would be a
longer term trade, right? All right.
Well, what else are we looking at? And
then maybe I'll look for what are some
potential shorts. And here is my first
trade. Plan a SanDisk. Now, SanDisk up
8% on Friday heading into the weekend.
There's a couple key levels depending on
where it opens up of resistance on
Sandis for you all tomorrow. Okay, first
level. Obviously, there's a gap here
around 1764, but that is quite close.
SanDisk is definitely a mover, and a
move up into that level would only be a
move up 1%. I'd likely look for
something a little more conservative
when tackling something like SanDisk.
So, what are the next levels of
resistance? 1827, nice pivot high, and
then gap fill here around 1915. So,
these are going into this week my two
levels to short SanDisk at least for a
day trade, right? At least for a day
trade.
And because it's a day trade, the way
that I usually day trade is once we push
up into these um resistance levels, I
usually look for around 1%. Right? And
for Sandis, that'd be about 20 bucks. So
my plan going into tomorrow and the rest
of this week, should Sandis push up into
1827
28 or 1915, I will short it and probably
look for a move uh 20 bucks or so in my
direction. 1% gain in a single day.
Pretty solid, right? So, what I would do
is I just set an alert
and my motto is set it and forget it.
Set these alerts and then forget about
it, right? When they come into those
levels, you'll see it. You can open up
your brokerage and initiate a short
depending on the price pattern, right?
So, this is what I would look at for a
day trade right now. The reason why I
don't love this for a swing trade for a
short is, yeah, we're up 74% from the
lows. Yes, we're up 20% 26% from its
recent fall, but we're still quite a
ways away from its highs. About 26% down
from its all-time highs. So,
I just be careful there. Next one is
Micron.
Micron.
Well, this is a stock that I've
identified through looking, right, that
hey, there's potentially a good swing
trade opportunity here. And now, what's
the difference between a swing trade and
a day trade? Well, I'm looking for a
little larger percentage, but I think
that that pullback isn't necessarily
just a small one or two or 3%. I'm
looking at 10 plus 15 20% move in my
direction potentially, right? Not that
it's necessarily going to go all the way
straight down, but will be a good level
of resistance. Well, Micron gives us two
good examples of this. First off, 1027,
there is a beautiful gaffle up there.
This will be a perfect level for a day
trade. But for a longerterm trade, I
love
I love the high pivot here around 10:42
and this pivot this gap fill here around
11:15. And you can tell that these are
11% apart. Now, why do I do that? Well,
first of all, I have to explain why I
like this short. Micron has rebounded
about a 15% move into this level,
favoring a move down. But if you scroll
back on the chart, prior to this great
move up, Micron had accelerated
violently up 300%
in the matter of what, a couple months,
right? Just a couple months. So, here
would be my plan on Micron. Start a
potential swing short here. And this
would be my ad level, my secondary level
of resistance. Because when we're swing
trading, I'm not just looking for a
quick move down. If it goes against me,
that's fine. I have a plan. And I find
the secondary level of resistance about
10% apart is where I like to spread out
my ads. 10ish% apart. This is about 11
to 10 and a half% apart. So, this is a
setup that I like for potentially swing
trade, right? And in this case, I think
that a fall back down just to, you know,
this gap filled just from Wednesday, two
days, you know, 3 4 days ago, like two
trading days ago. I think that's very
plausible, very easy, you know, very
reasonable about 11% fall from that
level. So, we'll ultimately see if
Micron can do that.
And then plan C
would be a longer term trade, long buy
and hold. Now, what am I looking for
when I'm looking at longterm holds?
Well, I'm looking at stocks that have
been beaten down significantly, that are
at lows, multi-year lows. And this
chart, I love this chart. This is
possibly my favorite chart
is Nike. Nike creating huge lows. And to
find out where we're how low we're
actually trading, guys, the last time
this Nike was valued down here was what
year?
2014.
12 years ago. About 12 and a half years
ago. Absolutely incredible. So for me,
zooming in a lot a little closer on the
weekly if basically anywhere in this
range, I love it. Right. this you're
coming into decades of support
and on this right you could reasonably
right taking a look at the stock let's
say you've fallen what 79% from your
highs you could reasonably buy and hold
this for a significant portion of time
and a move up you know 20 50% right even
50% to price where price was three
months ago four months ago isn't totally
unreasonable.
Additionally, the stock does pay a
dividend. So, holding it actually nets
you an additional 1% every quarter,
right? And this is a position that's
safe, right? Whether you love Nike or
you hate Nike, Nike is going to be here
in 10 years. So, that's why I absolutely
love this position for a long-term
trade. All right? And you see how I use
technicals to find that. I use decades
of information and use the technical
levels learned in this web series to
um dictate how I'm go approaching
long-term investing.
But with that being said, that's all I
have for you today. Thank you guys so
much for tuning in. This is, you know,
one of my favorite episodes I've done.
My name again is Lenho here with
Verified Investing. Please like this
video and subscribe to the Verified
Investing YouTube channel. And I hope
you have a incredible and blessed
weekend and I can't wait to talk to you
next week. Please leave a comment down
below if you made it this far and let me
know what you want me to cover next. I
hope you guys have a great rest of your
day and I'll see you next time. Bye-bye.
That's the trading playbook. If today's
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