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Verizon (VZ): This Is How Elliott Waves Help You Manage Risk

"Cut your losses short," sure – but where, exactly? Here's one way to know

by Nico Isaac
Updated: December 21, 2017

For every market, there are almost as many opinions about where that market is headed as there are people analyzing it.

Take, for instance, the mobile service giant Verizon Communications, Inc. In the last week alone, those predicting the future of the company's stock (NYSE: VZ) have-- well-- gotten their signals seriously crossed. To wit:

  • VZ is bullish: "Verizon Communications Inc. stock appears set for big things in 2018. Things are looking up." (Nov. 20 USA News)
  • VZ is bearish: "Why Verizon's Stock Price Jumped Too High Too Soon" (Dec. 8 Nasdaq)
  • No, wait. VZ is bullish again: "Hunting for the Best Stocks? Check out Verizon" (Dec. 21 The News Journal)
  • Sorry, spoke too soon. VZ is bearish: "Running Out of Momentum?-- Verizon Communications" (Post Analyst Dec. 11)

This is where we're supposed to say how Elliott wave analysis is the total opposite; that it always shoots straight and every interpretation of price action occurs as expected.

Well, we can't say that. The fact is, our analysis doesn't guarantee one surefire outlook for prices, either. But it does provide a way to know whether the original outlook is wrong -- often, before it's too late.

Here's how: Every single preferred Elliott wave forecast has a built-in alternate wave count; that "life raft" you jump into in case the preferred interpretation of price action is wrong.

One way an alternate scenario can get triggered is when the market breaks through a critical support or resistance price level --

  • Support levels are below the current price action (which signifies a bullish stance). If prices drop below these levels, you know your bullish stance is not working out.
  • Resistance levels are above price action; they are "lines in the sand" whenever you have a bearish stance. If prices rally above these levels, again -- that's your "risk."

Let's go back to VZ to see how our Trader's Classroom instructor Jeffrey Kennedy used support levels to manage risk in this popular stock.

First, in the October 18 Trader's Classroom Jeffrey identified a significantly bullish Elliott wave count on the price chart of VZ. However, Jeffrey emphasized how the rally hinged on prices staying above critical support at 45.71 -- or, a "much larger decline" would ensue.

Days later, prices did fall below support, dismantling Jeffrey's bullish count and clearing the way for further decline.

A week later, in the November 16 Trader's Classroom Jeffrey revisited VZ to highlight the risk-managing value of critical price levels and showed a new near-term wave count for VZ-- another bullish set-up dependent on prices obeying another critical support.

From there, VZ did stay above critical support en route to a powerful 20% rally to one-plus year highs.

Take a few minutes to watch these clips from our October 18 and the follow-up November 16 Trader's Classroom lessons to hear Jeffrey steer the risk-management ship through VZ. Press play and enjoy!

 

The chart below shows you exactly where the Oct. 18 and Nov. 16 Trader's Classroom lessons on VZ occurred alongside its price trajectory:

VerizonChart

When it comes to receiving objective market analysis -- one that also includes vital criteria for minimizing risk -- our Trader's Classroom has one question: "Can you hear us now?"

Become THAT trader who can see high-confidence entries, get in and get out with confidence — and sleep at night.

Picture this...

Several times a week, you meet with a market veteran and he's one of the most sought-after teachers in the world. He has dedicated his entire professional career to helping traders like you spot and act on high-confidence trade setups.

At every meeting, you watch over his shoulder as he shows you exactly how to spot your market opportunity. And he doesn't just teach principles. He uses real-life market opportunities to show you the telltale signs that a market is about to move. He also coaches you on how to create your trading plan for this setup — including how to estimate upside potential and identify risk-limiting price levels.

Sound like an ideal fantasy? Well...

THAT is exactly what Jeffrey Kennedy is offering you as a Trader's Classroom subscriber!


Here's How Trader's Classroom Helps You Trade With Confidence:

3 times a week, Jeffrey uploads an exclusive 10-15 minute video for you to the Trader's Classroom subscriber area. While each lesson is not a big time commitment, it's packed with trading insights that you can instantly apply to any market. And any time frame. And you can watch and re-watch the lesson as many times as you like.

Today's lesson might be a valuable insight into a historic market setup in Gold... Tomorrow it might be an immediate trade setup in Google. In the past month alone, Jeffrey has taught valuable trading lessons using NKE, AAPL, BAC, JNJ, JPM, FB, QQQ and many more... Whatever it is, each Trader's Classroom lesson delivers lasting insights that compound to change the way you trade forever.

Would you like to have Jeffrey mentor you? Don't miss this risk-free offer...


This Offer Gives You Everything You Need to Launch Your Elliott Wave Trading Journey

Years from now, you'll look back on the next three months as a pivotal point in your trading approach. The learning track we've designed for you includes real-time mentoring, plus four self-paced trading resources. This package would normally cost $482. But today, you can get it for $147.

Here's what you get...


You Get: Ongoing Real-Time Mentoring

Three months of Jeffrey Kennedy's Trader’s Classroom

Over the next three months, Jeffrey Kennedy is your opportunity-seeking Sherpa. He will show you opportunities and dangers in the markets. In fact, as soon as you order, you get instant access to the last three months of lessons! Some of the opportunities highlighted in these lessons are still unfolding.

Plus: A Self-Paced Learning Track

Four trader resources hand-picked from our educational library — a $286 value

Together, these 2 books and 2 online courses combine to offer the best foundation and reference guides for Elliott wave traders.


 

1
The Foundations

To start, you get Elliott Wave Principle - Key to Market Behavior (a $29 value). This definitive guide to Elliott wave analysis will be your roadmap and reference guide from here on.

 

2
Spot Opportunities

Next, the Visual Guide to Elliott Wave Trading (a $60 value) gives essential insights on how to incorporate Elliott wave analysis into your trading style.

 

3
Develop Trading Plan

Then, put down the books and head to a screen, for two online courses. In The Wave Principle Applied Online Course (a $99 value), Jeffrey Kennedy shows you how to spot an actionable pattern and formulate a trading strategy.

 

4
Kennedy Channeling

And finally, get unique insights with The Kennedy Channeling Technique Online Course (a $98 value), and learn about an invaluable tool that helps give more confidence to your waves counts.


Bonus: New LIVE Trader's Classroom Lessons Every Month

As a Trader's Classroom subscriber, at least once each month, you are invited to join Jeffrey Kennedy LIVE online for an interactive Trader's Classroom lesson. During these interactive lessons, you can personally ask Jeffrey your questions about the day's lesson, get his responses in real time, and benefit from other subscribers' comments and questions, as well. And don't worry if you're unable to make the live events: We'll post recordings in your subscribers portal with your other Trader's Classroom lessons later that day.

Start Your Risk-Free Subscription Now

Three months of Trader's Classroom, plus four essential trader resources (a $433 Value):
$147