Mastering the Market: DynaLogic's Sell Signals Turned Teladoc Health's Volatility into 70% Gains
DynaLogic's Sell Signals Transformed a Potential 70% Loss into a 70% Gain on Teladoc Health for a increase in return of over 500%!
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Teladoc Health, Inc (TDOC) is a multinational telemedicine and virtual healthcare company headquartered in the United States. Primary services include telehealth, medical opinions, AI and analytics, telehealth devices and licensable platform services. In particular, Teladoc Health uses telephone and videoconferencing software as well as mobile apps to provide on-demand remote medical care. Wikipedia
During the pandemic, Teladoc was a huge beneficiary of remote teleconferencing. It was a significant holding in Cathy Wood’s ARK Innovation ETF ARKK. On January 2, 2020, the stock closed at $83.26. On February 8, 2021, the stock closed at $294.54 up 253.7%. On May 31, 2023, TDOC closed at $23.15.
Let’s look at two scenarios: Scenario 1 Buy and Hold from 1/2/2020 to 5/31/2023, and Scenario 2 using DynaLogic’s overlay sell strategy where proceeds are reinvested in the S&P 500 ETF, SPY.
As the chart shows there was a significant run-up from January 2020 to February 2021, then the stock price collapsed by 92%.
Now lets overlay the DynaLogic sell signals onto the graph. Sell signals are only generated as prices are moving higher and reach a predetermined sell price. Sell signals were generated throughout the increase, and also as the price of TDOC was declining when there was an interim bottom and an uptick to a predetermined price from a previous buy price.
Let’s look at how an investment of $10,000 fared in each of the scenarios.
The implementation of the sell signals and the reinvestment of the proceeds into the SPY ETF improved the overall return dramatically (by 512%!) and created significant diversification.
Instead of continuing to own 100% TDOC in Scenario 1, the concentration in TDOC was reduced to 5.17% with 94.83% in SPY in Scenario 2. The initial investment in TDOC created a wonderful opportunity to capture significant price momentum and the reinvestment in the SPY ETF preserved the price appreciation. Most importantly, the sell signals turned a scenario where you lost nearly 70% of your investment into one where you gained 70%!
Remember that “Concentration creates wealth and diversification preserves wealth” and that “DynaLogic doesn’t try to predict the future, DynaLogic prepares you for the future!”
This is just one of many case studies that underscores how following DynaLogic’s system can produce better outcomes in a variety of scenarios.
Will the current rally continue to gain steam or will we see a downturn with the potential for future rate hikes and recession? If you are using DynaLogic, it doesn’t matter as you will be prepared for any scenario!
We’ve been sending out sell signals on some of the names that have popped recently like NVIDIA & Tesla. These sell signals prepare you for a potential drawback and free up capital to allocate to safer or investments or to use as “dry powder” to reload if a downturn does happen.
For full access to our signals, click below to claim a 30 day free trial!
Hear from some of our subscribers:
“The predetermined buy and sell triggers built into the strategy make life easier and a more efficient use of time as it takes the emotion out of the equation.” T.S.
“I've been using DynaLogic for 6 months now. I've already seen a big impact and it's provided me a roadmap for sound decision making. The best part... I am not one that is trying to make the decisions. I've spent far too many years guessing what to do with my investments based on what feels right. This lays it all out in a simple way and tells me when and how to make decisions.” - Wes
“I've been following for awhile and just observing, I've missed out on major increases, while losing 20% trading on my emotions, I could've tripled that amount in gains if I followed your signals!
It's a no Brainer to sign up...I'm excited to see where this leads.
Now I can focus on increasing my income while following your trade signals” - Tim
“I've been following DynaLogic for a while now, its an invaluable tool to use as part of my investing strategy. I find its difficult for me to sell stocks when they are rising, only to kick myself when I didn't take gains if it drops down the road. So many publications focus on telling you what stocks to buy but I haven't found anything like this that alerts you when to sell which is really helpful when you can't monitor all your stocks all the time. I've also had some really nice gains off the buy signals too.” - Kevin