Let Winners Work: A Trend-Following

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Let Winners Work: A Trend-FollowingBorgWarner Inc.BATS:BWASniperAlphaResearchMost traders spend their time searching for the next setup. Often, the bigger opportunity is simply managing an existing winner correctly. This BWA chart demonstrates a simple trend-following principle: As the stock advances and builds new support levels, risk can be reduced by moving the stop loss higher while continuing to participate in the trend. The objective is not to predict the top. The objective is to stay invested while the trend remains healthy. In strong trends, patience is frequently more valuable than prediction. For educational purposes only. Always do your own research.