by Zach Scheidt
Daily Reckoning
Want to know how to predict whether a stock is headed higher or lower? It’s actually easier than you might think…
Many stocks trade in reliable trend patterns. This means trending stocks that are bullish tend to continue higher. And those that are in bear market trends tend to steadily move lower.
That doesn’t mean your trending stock will move higher each day. But it does mean that over time, a bullish trending stock will have more up days than down days. And over time, you’ll make a good amount of money holding this position.
The strongest and most reliable trend I’ve been watching this year is the steady advance in precious metals.