Results of Tuesday’s Best S&P Turning Points: Neither suggested trade triggered.
Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets):
Buy 3811.75 stop 3806.00. Short 3853.25 stop 3848.25.
The World Sentiment Index: (+100/-100) JUMPS from -57 to +36 with most major world markets Bullish. Historically the close was higher than the open 55% of the time.
Catalysts: Consumer Confidence & Existing Home Sales @ 10:00. EIA Petroleum Status Report @ 10:30.
Quick Tip: Choices
The first serious sports car I bought was gold. It was the only one of that model the dealer had at the time. I didn’t love the color, but I really wanted the car.
Most of the time we have choices and that’s a good thing. Traders have plenty of choices. Maybe too many. Which asset to trade, how many shares/contracts, entries, exits, etc. That’s why you should have a plan and stick to your rules.
One of the choices I’ve noticed most traders don’t have is which strategy to execute. It seems they learn one and stick with it. Market conditions change and not all strategies work well in all markets. Having no choice leaves you with downtime or worse yet, losing due to impulsive entries (kind of like buying the wrong color car).
In our trade room we have several strategy choices. For example, yesterday was a great day for intraday trends in the S&P. Trend was not good for oil, but volatility reversals were outstanding. Once you have multiple strategies you can fit the strategy to the current market conditions. Less downtime, more opportunity.
If you’re looking to join a trading team that uses evidence-based rules across multiple strategies, click here for a no-risk 30-day offer. You can learn the strategies, trade them in simulation mode, and pick which resonates with your personality, if not all of them.
P.S. Feel free to share this blog with all your trading buddies.