Trade Reviews

Trade Review: ADP

Automatic Data Processing, Inc. (ADP) was identified using our custom Golden Cross screener. We entered on July 31, 2026. The stop was hit on September 2, 2026 and we were out for a +5.64% gain.

Setup

Automatic Data Processing came off our Golden Cross screen, which flags a 50-day moving average crossing up through the 200-day - a slow, confirmatory signal rather than a breakout. The trade was taken on the crossover with risk defined before entry: a stop 3.08% below, tighter than anything else we opened that week.

Entry

We entered ADP on July 31, 2026.

Initial Stop

The position had defined risk before entry: a stop 3.08% below entry.

Target

No profit target was set. The exit rule was a dynamic stop that trails the position while the trend holds, so the market sets the exit rather than a level we pick in advance. What the trade needed was a trend that lasted longer than the noise. It held for just under five weeks.

Result

We exited on September 2, 2026 for a +5.64% gain, or +1.83R against the initial risk. The trailing stop, not a target, chose the exit: it tightened under the advance until the stall took us out.

% Realized Gain/Loss

+5.64%

Position Status

Closed.

Lesson

This is the shape a trend system needs to work. Our two Clenow stops this week each cost about 1R; ADP returned +1.83R because nothing capped it. Setting a fixed target here would have paid less than letting the stop trail. The losses are the budget, and they are meant to be small and frequent - the discipline is refusing to cut the winner to the same size.

This article reflects our own research and trade process. It is not personalized investment advice or a recommendation to buy or sell any security. Trading involves risk, and past performance does not guarantee future results.

Trade Setup: FPS

Setup Forgent Power Solutions, Inc. (FPS) was identified using our custom Double Bottom screener, which flags a second test of a prior low that holds. The pattern is a reversal signal: it is betting that sellers who were in control at the first low are no longer in control at

Trade Setup: META

Setup Meta Platforms, Inc. (META) was identified using our custom Double Bottom screener, which flags a second test of a prior low that holds. The pattern is a reversal signal: it is betting that sellers who were in control at the first low are no longer in control at the

Trade Setup: PSX

Setup Phillips 66 (PSX) was identified using our custom Meta Setup Score, which ranks candidates by how many of our individual screens agree on the same name rather than by any single signal. A high score means the setup is confirmed from more than one direction, not that any one

Trade Setup: FICO

Setup Fair Isaac Corporation (FICO) was identified using our custom Double Bottom screener, which flags a second test of a prior low that holds. The pattern is a reversal signal: it is betting that sellers who were in control at the first low are no longer in control at the