Two Indicators That Will Help Keep You On The Right Side Of The Market
My Favorite Trend Indicators
I’m often asked what are my favorite trend indicators.
Here there are:
For uptrends:
For downtrends:
One again, as mentioned recently: If you’re new to momentum-based swing trading and would like more information on the basics such as trend, entries, and money management , email me and I’ll be happy to send
you the primer section from my second
book.
On Friday, the Nasdaq opened firmer but soon began to chop
its way lower. A late-day bounce put it back into the plus column.
The S&P put in a similar performance.
This action has it holding at minor support (its recent
lows).
So what do we do?
The market is oversold, the
S&P held support, and the indices managed to close higher ahead of the
weekend. However, that’s nothing to write home about. The bigger picture reality
is that the market remains in a downtrend. The vast majority of all sectors
remain in downtrends. And, most stocks also remain in downtrends. Of course, and
I quote from my recent hate mail: “any idiot can recognize this.” I
suppose that’s why they call me the Trend Following Moron. Continue to play the
short side but make sure you are taking partial profits as offered.
As far as setups, Gen Probe
(
GPRO |
Quote |
Chart |
News |
PowerRating), mentioned
recently, still looks like it has some additional downside–possibly to its old
lows.
Best of luck with your trading on Monday!
Dave Landry
P.S. Reminder: Protective stops on every trade!
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