Something I have learnt from dutifully studying Mckagens calls is this:
Firstly, wait for the breakout to occur. Mckagen often calls on early breakout signs but make sure volume is backing prior to jumping IMO.
Secondly, Keep a close track of B/S depth close to current price (I know I repeat this everyday, but with breakouts its the only technical indicator I've found accurate after paper-trading and normal trading breakouts all last year)
Thirdly, Be greedy buying. Don't be afraid to put your bid in a couple of pips below and not get hit. These things often have a tug of war and hitting the lower end of the current tug can make your sell much easier and less nerve racking.
Fourthly, be fearful selling. Be afraid of losing money once you've bought in. Set a tight stop loss and have a sell point for profit pre-selected. With breakouts it can fall away quickly, so as soon as that B/S depth changes for the worse jump the hell out.
I have actually traded several Mckagen calls over the last 6 months and made decent wages with only a few not following the expected course.
