Charts Worth Watching

Watch these charts from a neutral perspective and ask yourself what is dominating these patterns: SUPPLY or DEMAND?

87.7% Return In 41 Weeks Of Real Time Trading Alerts!!

MOST OF MY MEMBERS HAVE MOSTLY AVOIDED THE RECENT SELLOFF IN THE MARKET BY MOVING TO CASH OVER 2 WEEKS AGO!!

Some times it's not the money you make but the money you did not lose that matters most!

Check out the full trading performance here: http://artoftrading.net/performance

31 winning weeks with only 10 small down weeks!!



Much more than trading simple alerts: I WANT TO TEACH YOU!!



The performance and testimonials speaks for itself!

Hey Stewie, My total loss this week with commission is $231.00 Not bad at all :) Looking forward to following your trading alerts. I really like all the reasoning behind everyone of your trades and I'm learning alot from your service.I know from 12 years of my own trading experience that it takes alot of work to do this successfully, So I'm very happy I found your service,It's nice for a change to not do all the work to get the good trades. I can definately tell you know what your doing and I plan on continuing to follow your trades exactly. Keep up the good work Looking forward to a long relationship.

S.A.

TRY IT OUT FOR 14 DAYS FREE AND SEE FOR YOURSELF!

US Dollar Index Broke Resistance!

Updated chart from a few days ago.

Stair Steps Up, Elevetors Down

These are the words that come to my mind right now.

The past 2 weeks, the up days have been on low volume(making them very difficult to play). The up days are sloppy and choppy in nature with lots of hesitation(random spiking intra day, no strong intra day trends).
The down days are ruthless, sharp, crisp and aggressive on bigger volume(movement with confidence). In my opinion, it's not safe to declare victory for the bulls yet. THIS DOES NOT MEAN THAT WE CANNOT RUN SOME MORE! THIS IS NOT A SELL SIGNAL EITHER. I am going to stay patient and sit patiently until i see more tradeable patterns.

Divergences Kicked In And Now We Have A Potential Bounce In Stocks

The bear flags were negated and we saw a failed attempt at a breakdown which created a short squeeze late in the session.

This is why you need to be very nimble and have an open mind in this market right now!!

Things change literally in minutes.

I didn't post these charts on my blog but i did post it on twitter today.

If you haven't done so yet: please make sure to follow me on TWITTER!!!

Look Out Below: We Got Bear Flags

SPX Chart To Watch Going Forward

Have an open mind and be ready for anything. We are at a critical juncture and watch tests of 1080 very closely. Support is very strong at 1080.

The Need To Be Nimble As A Trader

The SPX has dropped about 5% in just a few days(clsoed at 1090 today). MArket attempted a rally today and failed miserably, HOWEVER, i am gonna be watching the SPX very closely between the 1090 and the 1080 level very closely. I think a strong bounce is brewing under the surface. the market is an incredible deceiver. It is the master at making everyone make all the wrong moves ahead of a major move. Bears got the close they wanted today but notice the day's lows were not violated!! THIS IS BULLISH as hard as it is to believe. Bulls got somewhat rattled today with this late day selloff and i am confident we got a nice mix of scared longs who sold into the close and eager shorts who pressed their bets into the close today. This combination is now making me lean into the bullish side again.
I could be dead wrong, in which case i will remain in cash and watch along.

But the bulls now have their opportunity! Let's see how they decide to play it!!

If you cannot think quickly and change your bias on a dime, then you need to start doing that if you wanna trade without bias.

The key is to be 100% neutral. You trade what you see and be open to all possibilities.

Gut Feeling In Trading

Never under estimate your GUT FEELING in trading, especially in bearish trends. My gut feel now tells me that we are not gonna rally. It's to premature to enter long positions. Do not be surprised if AAPL earnings' (coming after the close today) disappoint investors. Expectations are SKY HIGH for AAPL stock.

In trading, YOU ARE ALWAYS BETTER SAFE THAN SORRY. I would much rather see stocks i orignially entered as swing trades rally without me, then see them tank hard the following day with me in them!!

The psychology of it alone will hurt you.

Think DEFENSE: meaning be skeptical of all stock moves up or down, cut suspicious trades VERY quickly, GOOD trades "feel" right. Bad ones don't.

Catching Falling Knives In Bearish Trends Is Very Dangerous!

One lesson i learned the hard way many years ago is that trading a 'falling knives' type of strategy in bear markets or strong bearish trends is very dangerous(especially for those of you who not use stops with discipline!!!).

This strategy is a good one in bull trends/markets as prices are quickly bought up by new buyers but what happens when the buyers are not there any more????

Well, an avalanche of lower stock prices hits the tape and the stock will collapse much further then you even imagined! If you are using stops, then you will say: "Thank god for stop losses" and you are very smart!!

However, If you failed to use a stop then you failed miserably!! Because now, you are now stuck in a whirlwind of lower prices and all the mental drama that comes with it. That's when all the mistakes you were told to never make will be made:
You will tell yourself things like:

1. "I will continue to average down to lower my cost basis."
2. "i will sell it for a small loss once it bounces a little."
3. "i will make it a longer term investment now."
4. "we are oversold and it is going to bounce soon."

This is exactly the wrong way to look at things when things are not going your way!! This is an amateurish way of trading. You will not survive for very long if you are running your trades this way. Think like a professional and what ever strategy you decide to use: USE STOPS WITH DISCIPLINE!

Attached is a chart of YGE that illustrates this very example of how in bearish trends, "oversold" becomes more "oversold" and the big bounce never comes when you want it:

good luck.

88.6% Return In 40 Weeks Of Real Time Trading Alerts!!

Check out the full trading performance here: http://artoftrading.net/performance

31 winning weeks with only 9 small down weeks!!



Much more than trading simple alerts: I WANT TO TEACH YOU!!



The performance and testimonials speaks for itself!

http://artoftrading.net/testimonials

TRY IT OUT FOR 14 DAYS FREE AND SEE FOR YOURSELF!

QQQQ: Potential Topping Out Situation

updated chart from a few days ago. The bears are really making their point now!! They need to be respected. I would look for strong support around that $43 area on the QQQQ. I expect bounces along the way to $43 to be short lived. Stair steps up and evelators down kind of action.