The Powerplay Setup
Interview with Veteran Trader Mark Ritchie II
Yesterday afternoon I got the chance to sit down with veteran trader Mark Ritchie II.
Mark is a portfolio manager at RTM Capital and has been trading and investing professionally for over a decade.
He specializes in growth trading and was featured in Momentum Masters alongside Mark Minervini, David Ryan, and Dan Zanger.
One of Mark’s specialty setups is the Powerplay which is also known as a High Tight Flag.
This setup occurs when a stock advances rapidly over 100% in just 2 months before consolidating tightly for at least 2-3 weeks. This type of setup may be on the rarer side, but it can lead to powerful moves in just a short amount of time.
One of the strongest powerplay/high tight flag examples is TASR (now $AXON) which formed three separate high tight flags within its model book run of 2500% in 9 months back in 2003.
I would highly recommend watching my interview with Mark as we cover recent examples of powerplays as well as what a constructive setup looks like in general.
I hope you all are doing well and managing risk during this correction.