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Magic 9 Profits: How to Play 9 Stocks for Portfolio Riches

Bryan Bottarelli, Head Trade Tactician

Let me introduce you to my “Magic 9 stocks” and the system I use in The War Room to identify short-term trading opportunities.

In The War Room, I use a technical analysis software system to help me find very short-term trades based on movements in a stock that take place over a period of several hours, days or weeks.

In short, my trading system allows us to jump in and out of stocks for quick gains on short-term moves as they happen.

Quite a bit of analysis, testing and tweaking have taken place since I started using this system.

That analysis, testing and tweaking over the past 20 years are what led me to the Magic 9 stocks.

In the Pits

I started my trading career at the Chicago Board Options Exchange (CBOE) in the trading pits.

Each pit focused on 15 stocks. And as a trader, I became intimately familiar with the 10 to 15 stocks assigned to my pit.

I knew how they traded… what patterns they followed… how they tended to move up and down at the opening and closing bell…

After spending hundreds of hours trading them against the other pro traders in the pit, I knew everything about them!

The CBOE didn’t want us to try to be experts on every stock in the market. That’s impossible.

I learned that focusing on just a small number of stocks is what can make you rich.

Trading technology has come a long way since my early days in the pits… Sophisticated software now helps me screen hundreds of stocks for the criteria I am looking for.

The specialized technology available today makes it possible for us to trade all kinds of different stocks in The War Room, wherever an opportunity presents itself. And we’ve had great success doing that…

But looking back at our track record, I have realized there are 9 stocks in particular that I’ve had remarkable success with!

The Magic 9

Week after week… month after month… these 9 stocks kept winning for me throughout the year.

And they’ve proved over several years to produce wins over and over… at a rate higher than what my normal trading produces.

In 2022, the Magic 9 achieved the “holy grail” of investing… a 100% success rate!

Trading just these 9 stocks would have led to a total return of 233% on all 40 of the trades.

Seriously, 40 out of the 40 trades that I made using the Magic 9 were winners… This wasn’t some odd fluke, either.

Since my partner, Karim, and I started our online community in 2019, we’ve recommended the Magic 9 stocks 135 times.

And on those trades, we’ve produced an 85% win rate.

In other words, nearly 9 out of 10 times when we recommend these stocks, traders have made money.

I was determined to discover the “magic” behind the Magic 9…

By studying the chart patterns of these winning trades, I realized these stocks consistently provided the best results when “W” and “M” patterns developed.

“W” and “M” Patterns… Up or Down… You Can Profit

It’s important to have a reliable strategy that helps you cut through all the “noise” coming from Wall Street.

Rather than listen to all the “talking heads” on Wall Street hypothesize about what direction a stock is headed… I use technical analysis.

I’m a big believer in using chart patterns to get results. They are a visual representation of human emotion in the market – fear and greed. And humans behave in repeatable patterns that we can see by using charts.

I use easy-to-recognize (with help from our proprietary software system) market anomalies, which I call “W” and “M” patterns.

“W” and “M” patterns are very simple but powerful ways to identify where a stock is likely to go in the following hours or days.

Trading is a battle of buyers and sellers. When buyers are winning the battle… stocks go up.

And when sellers are winning… stocks go down.

The “W” and “M” patterns are a visual representation of that battle. The “W” shape is a bullish technical signal, and the “M” shape is a bearish technical signal.

“W” and “M” patterns are often referred to as double bottom and double top patterns, respectively. As you can see from the chart below, under ideal circumstances, the patterns form a perfect “M” and “W.”

With a double top (“M” pattern), an asset reaches a high price (the resistance level) two times with a decline in between.

After reaching the high for the second time, the trend reverses and is confirmed when the price crosses through the neckline from the new highs.

With a double bottom (“W” pattern), an asset drops to a low price and then a moderate rally brings the price back up before it falls back to the previous low price.

The pattern is confirmed when the price rebounds off the bottom support and breaks through the neckline established by the moderate rally between lows.

After a decade of meticulously studying this anomaly…

I’ve found that it can be an excellent predictive indicator regarding the immediate directional move for stocks… and can provide quick profits for nimble traders.

But unless you are watching a particular stock all day long, you don’t know these battles between buyers and sellers are taking place throughout the day.

I’ll bet that 99% of investors pay attention to only where a stock price opened… and closed. However, during the course of the day, stocks can fluctuate wildly above and below their opening and closing prices.

Let me show you a few examples of “W” and “M” trades we’ve made in The War Room.

In the chart below, I’ve highlighted the clear “W” pattern I saw on Magic 9 stock Merck & Co. (MRK). Our option play soared 22.9% in a matter of minutes!

A “W” pattern shows me that the buyers have won the battle and the stock is poised to increase… and we’ll typically use a call option strategy.

An “M” pattern shows me when the sellers have triumphed and the stock is on the verge of declining. It tells me it’s time to recommend a put option strategy to subscribers.

Unlike most investors, War Room members have made boatloads of money when stocks have declined.

It doesn’t matter which direction a stock is heading!

We have a strategy to profit when stocks go up… and when they go down. And the “W” and “M” patterns give the ideal signal of when to make our move.

Here’s an example of an “M” pattern appearing in Magic 9 stock Coinbase Global (COIN). In this case, we made a quick 22.1% profit in just a few hours.

The Power of Magic 9

I’m not telling you about the success of Magic 9 to massage my ego. I’m bringing these stocks to your attention for two reasons!

First, by using “W” and “M” patterns… you can make money no matter which way the market is moving – even in a nasty bear market.

Second, in certain stocks, like the Magic 9… “W” and “M” patterns have proved themselves exceptionally predictable.

The Magic 9 stocks have proved, over and over again, to move decidedly off these patterns.

Thanks to these stocks’ remarkably consistent reaction when “W” and “M” patterns form, I have timed profits on the Magic 9 with near flawless accuracy. And these stocks have proved to be a tremendous source for collecting huge gains year after year.

The Magic 9 are hands down the most reliable stocks I’ve uncovered since launching The War Room four years ago.

Every year, I “go back to the well.” And almost without exception, these stocks provide very handsome gains. Quite often, they’re triple-digit profits.

So here’s a refresher on the 9 stocks to be on the lookout for… because when you see them recommended, the odds of making profits shift significantly in your favor. (These are listed in no particular order of significance.)

  1. Merck & Co. (NYSE: MRK)
  2. Direxion Daily Gold Miners Index Bull 2X Shares (NYSE: NUGT)
  3. Coinbase Global (Nasdaq: COIN)
  4. Walmart (NYSE: WMT)
  5. Raytheon Technologies (NYSE: RTX)
  6. DoorDash (NYSE: DASH)
  7. SPDR S&P Homebuilders ETF (NYSE: XHB)
  8. The Home Depot (NYSE: HD)
  9. CF Industries Holdings (NYSE: CF)

The War Room Strategy

If you’re like most people, you’re probably worried about the state of the markets right now.

There’s so much uncertainty out there… inflation… interest rates… potential recession… the war in Ukraine… China… Russia… you name it.

That’s why I think trading short-term moves in stocks is an essential tool for creating profits in your portfolio.

Many investors simply hold on to speculative, overpriced stocks and hope for a turnaround… That usually doesn’t work out well. Other investors panic and run to cash… and let inflation gradually erode their savings.

But savvy investors embrace volatility as an opportunity.

The trading system we’ve created in The War Room is a way to take this difficult market… and turn it into a run of great profits for you – no matter which direction stocks go.

In short, it’s a way to make money from the single most consistent element of the stock market… volatility.

The trading system used in The War Room is designed to be as easy as possible for you.

You won’t have to guess when to get in or out of recommendations. We’ll alert you exactly when it’s time to make a trade – both when to buy and when to sell – with simple instructions telling you what to do.

As a member of The War Room, you’re provided with everything you need to succeed. And succeed… I hope you do! And I am confident you will!

Thank you for joining The War Room.