Ted Zhang, who manages over $30M at 25, uses a four-stage price-cycle framework to time trades. He focuses on the middle six-eighths of a move, avoiding the expensive first and last eighths. The system works across asset classes and removes guesswork from positioning.
Over $50 million being managed at 25 years old, surpassed now $400 million at Revere Asset Management. We always say it's impossible to predict the future, and anyone who says they can predict the future is just full of crap. If there was a way to quote unquote predict the future, it'd be studying stocks.
Introducing Ted Zhang. In this episode of Chart Fanatics, Ted runs us through the exact framework that he uses to manage over $50 million.
His price cycle is called stage analysis. We will find out why it's timeless. You'll see this repeat in all the asset classes. We can go through each individual stage at a time.
Through this concept, you will be able to identify any of the 4 stages of the market. This is exactly how you can create high reward-to-risk profiles within the market.
So this is stage 1. A key tell for me is when the MAs, moving averages, start slicing through price and price oscillates up and down. Stage 2, and this is the uptrend. This is like early stage 3, how you kind of tells stock is topping is when you've had a big move and the rate of change of the stock kind of goes sideways. This is stage 4, which is the downtrending phase.
This is why it's so important that you'll be able to identify the exact theme and where you need to be positioned within the market.
You want to forget the first eighth of a move and the last eighth, and they're often two most expensive eighths of the move. So forget about this first day, forget about this last day, just catch that sixth days in the middle.
Stop guessing and start learning from through professionals like Ted.
In any strategy and system, you want it to be based off timeless principles. And in the universe, you know, one phenomenon that comes up time and time again is the concept of—
