Trend is one that is often a “gottcha” for new swing traders. The problem is trading leadership. The runs are not initiated by Dark Pools or Pro Traders. The runs are initiated by smaller funds using VWAP
or, worse, the retail crowd. The retail crowd is more emotional, has less experience and minimal training. Therefore, the runs they create are harder to trade. Try to avoid trading stocks that lack strong runs. Strive to trade with the Pro Traders, as the follow-through of the run is more reliable and the profits are usually much higher. This is not the ideal stock for swing trading at this time.
Martha Stokes, CMT