How Can Average Traders Thrive in this Market?
After three days of brutal sell off, the market is now stabilizing. Everyone is looking ahead to the Fed’s meeting tomorrow to see if they will make an aggressive move on raising interest rates. Brian and I traded TQQQ and TSLA for an Opening Range Breakdown and posted our recap here.
Today, Ardi and I go LIVE on YouTube for our Market Close show. Our special guest will be Dr. Kenneth Reid. Please join us live. There will be an opportunity to ask Dr. Reid any questions that are on your mind.
At Bear Bull Traders…
Tonight, for Tuesday Strategy, all Elite members are encouraged to attend Brian’s webinar that commences at 8pm ET. While trading the Open can be risky and challenging, the Rising Devil and Fallen Angel strategies can help you bring structure and profitability to your trades made at the Open. In this webinar, Brian will cover how to identify, execute, and manage these types of trades. Detailed technical information and “live” examples will be provided.
Tomorrow, for Wednesday Psychology, all Elite members are invited to join Mike at 8pm ET for a webinar entitled: Trading Psychology 101: Defining Your Trading “Why”. Understanding your trading “why” is the first step to mastering your trading psychology. As a trader, you are far more likely to make the changes needed for success if you truly understand the reason you trade. In this webinar, Mike will discuss how your ability to accept changes hinges less on how much you like the reason you are trading, and instead more on how much sense the reason actually makes to you.
Why is the market selling off? Stocks are under assault from multiple directions at the moment. Tighter US central bank policy means higher interest rates, which impact future discounted asset valuations for investors. Those higher rates also potentially hurt economic growth, which is already under pressure from pandemic lockdowns, higher energy prices, and the fallout from the Russia-Ukraine war. Which companies do you know that are really looking into growth next year? More and more they are cutting guidance and sales. But perhaps a more enduring threat comes from inflation and what it means for corporate profit margins.
For the first time in a generation, companies may have to deal with a prolonged period of price pressure and the cost increase and shifting demand that inflation generates. The result is lowering profit margins and a decline in earnings that will keep shares under pressure for some time to come.
To your success,
PS: If you have not already, I urge you to try out our free web-based trading simulator
at stocktradingsimulator.com. It’s conveniently available 24/7, whenever you have time
to practice honing your trading skills.
PS2: Although it is still in a beta version, you can visit tradingterminal.com to do research on stocks you’re interested in. While we have not perfected it completely yet, it is a great place to not only research stocks, but also crypto and forex, as well as catch up on the latest news. There’s even an earnings calendar to assist you in making trading decisions.