The Daily Market Forecast... breaking a losing streak
Friday’s Blog Results: The suggested buy at 4616.50 stopped out. The suggested short at 4658 missed filling a great runner by 1 point. ☹
Today’s Trading Tip: Breaking a bad streak.
If you missed our weekly trade review session, LookBack (5), the recording is up here. After 14 winning weeks our strategies hit the inevitable losing week.
Here’s what we know from our documentation and 9500-trade database: Losing streaks become winning streaks. And vice-versa. There’s even some math about this phenomenon called Theory of Runs.
The chart above shows every high-volume level that was likely to be touched in last night’s Globex session. After last week’s losses, right when you might be wondering if you should quit, the tables turn and you have 7 winners in a row. Obviously, it takes confidence to persist when losing. That confidence comes from your experience and the evidence you have.
If you’re wondering about the rules followed to get those 7 winners, join us in our next LookBack (5) session. Details below.
Today’s Best S&P Futures Turning Points:
Short Level: Sell 4623.50 stop 4629.25 (5.75 risk).
Long Level: Buy 4527.00 stop 4522.75 (4.25 risk).
Trade Well,
Mike Siewruk
P.S. Join us this coming Sunday @ 5PM ET for our weekly LookBack (5) trade review session. Every trade for the week is analyzed. BONUS: We’ll open the Globex session and trade live. Register here for the December 26th session.