While it’s best to stay focused on what the market is doing now, it’s also important to be aware of potential price levels at which a market can encounter support or resistance. Read Borsellino’s piece on a regular basis. He’s an expert at this.
If you’re ever in the market for short-selling opportunities, there are recurring patterns that you should always be on the lookout for as markets fall. One of my favorite setups is the retracement back to a breakdown level.
If you’re a trader, dealing with probabilities is a way of life for you. Nothing in the markets is a sure-thing (duh!), and you have to constantly be on guard against becoming too self-confident.
One of the hazards of trading is that you can become complacent and just fixate on a few patterns and indicators that seem to work well.
Every day, there are going to be people in the financial media trying to make predictions about where the market is headed. Your job as a trader is to cover your ears.
There’s an old expression that traders have been known to say when they get overconfident in their trading and suffer heavy losses due to their overexposure.
Sometimes you spot a pattern that is unique to an individual stock.
Until recently, the biotech group was one of the strongest-performing groups in the Nasdaq.
A couple years ago, when I took my family to Colorado, we visited the Air Force Academy in Colorado Springs.
While I wouldn’t go so far as to say that Thursday’s session was daytrader heaven, there were some interesting setups in some of the better-trending stocks.