How to Identify good momentum burst and make millions

1. The day prior to range expansion day will be narrow range day or negative day
2. The stock will have 3 to 20 days consolidation prior to range expansion day
3. The stock will have series of narrow range days prior to breakout
4. On breakout day volume is higher than previous day
5. On breakout day stock closes at or near its high for the day (preferred)
6. Stock is not extended. First or second breakout at start of an up trend is preferred.
7. Stock should have linear and orderly move
8. A very volatile stock exhibiting drunken man walk kind moves should be avoided
9. Low float below 25 million is good. Below 10 million float leads to explosive moves
10. Low priced stocks (below 5 dollar) tend to make very explosive moves of 40% kind in 3 to 5 days.

Your objective should be to become an expert in this setup. If you do that you can make millions of dollars over your trading life time. In a year you will find 500 to 1000 such setups on bullish and bearish side. This is one of the setups I use daily along with other setups.

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