April 6, 2022, 1:02 pm EDT
2022 Actual Trade: APA +26% Profits
Sometimes, it is not too late to join the rally if one can figure out the wave patterns. The key to success is to identify the waves and get in at the right timing. After recognizing the wave pattern and the strength of an underlying stock, then it is important to get in at the low-risk high-reward entry point.
For example, oil and natural stock APA Corp (APA) demonstrates how a strong stock performed in staging and waves.
- First wave: 8 to 16. We can see how strong AA was to make +100% gains in about 10 months
- Second wave: 16 to 24. It took another 10 months for +50% gains
- Third wave: 24 to 31. APA made another +30% in two months
- Fourth wave: 31 to 44. The highest gains could be +42% in 3 months
Although we did not participate in the entire rally from the bottom 8 or waves 1-3, we caught wave 4 with +26% gains in 2.5 months.
Please note that APA pulled back in February but 31 offered the key support. Thus, we were able to hold through the tough time and reached the finish line.