Why You Should Continue To Keep It Light
Looking to the indices, on Thursday, the Nasdaq opened
firmer and after an early dip rallied sharply. However, it found its high
quickly and then began to drift sideways. Finally, it sold off going into the
close.
This action has it closing poorly and keeps it in a trading
range.
The S&P also reversed to close poorly after tailing
higher.
It remains in a choppy sideways trading range.Â
So what do we do? On Thursday, the media began
to celebrate as the Dow was on the verge of breaking out of its trading range.
However, it dropped over 120 points after tagging those breakout levels.
Therefore, considering this action and the action in other major indices,
I see no reason to change the game plan: Continue to keep positions on the light
side no matter what side of the market you are looking to trade.
No setups tonight. Remain patient, we should see numerous
stocks setting up once the indices break out of their trading ranges.
Best of luck with your trading on Friday!
Dave Landry
P.S. Reminder: Protective stops on
every trade!
“….. I have read your book several times and I found it very empowering to me. My trading improved quite a lot….Â
Grateful for your help…..”
George B.
