
In this episode, Cam and Joel go deeper into the force behind the Gap and Go strategy: momentum.
Cam breaks down what momentum actually means in the market, why stocks can get repriced violently when institutions realize they were wrong, and how that repricing shows up through gaps, volume, and continuation. Using examples like AGL and HWM, they walk through why some stocks keep running long after most traders would have taken profits.
The conversation also digs into the data behind momentum trading, including R multiples, maximum favorable excursion, Monte Carlo testing, and why a small percentage of trades can account for the majority of returns.
They also cover one of the hardest questions in trading: when do you take profits, and when do you let the trade keep working?
Later in the episode, Cam explains how he’s using AI, backtesting, and his own trade history to study momentum, refine his process, and better understand where rules end and human judgment begins.
⚠️ Best experienced on Spotify or YouTube - Cam is sharing charts throughout the episode.
👉 Join Cam’s trading community:
https://whop.com/the-construct-trading/premium-trading-comminty?a=chinashopproductions
Chapters- 00:00 — Introduction
- 01:00 — Momentum Trading vs Other Trading Styles
- 04:00 — AGL Example: When the Market Gets Repriced
- 09:00 — Gap and Go Data: R Multiples and Continuation
- 12:20 — MFE, Breakeven Stops, and Momentum Fading
- 15:00 — Holding Winners vs Taking Profits Too Early
- 19:55 — Monte Carlo Testing: Why a Few Trades Drive Returns
- 23:25 — Silver, Gold, Tesla, ASML, and Reddit: Cam’s Biggest Trades
- 25:15 — The Super Momentum Screener
- 28:05 — Using AI and Backtesting to Study Trading Rules
- 33:50 — R Multiples vs Percentage-Based Profit Targets
- 39:20 — Rethinking Profit Targets and Stop Rules
- 43:00 — Knowing When Momentum Has Died
- 45:20 — Balancing Win Rate, Drawdowns, and Big Returns
- 47:20 — Responsible AI Use Cases for Traders
- 49:40 — What’s Coming Next: Practical AI for Trading
Sponsors:
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Cam:
Cam is a Navy veteran & management consultant turned 8 figure investor & trader. Trading let him retire at 35 & be able to support and provide for his family forever. Now he wants to help others escape the financial system and live the way we were meant to live: free. His system is a rule-based design that can be used for long term investing, swing trading or option selling on any schedule.
Joel MC:
Joel is a power lineman, husband, and father of 2 wonderful daughters. He took up trading as a way of participating in the market more actively than buy and hold ETF investing. Joel has found a true passion in trading futures and would continue to do it even if he never earned (or lost) another dollar, he just enjoys the game. Along with that he has found a community that has grown on him beyond buddies and past friends to what he considers family. Joel's best friend is a doctor in the states he met through trading and have never met in person, while he is up in Canada.
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