Results of Monday’s Best S&P Turning Points: The suggested short @ 3913 triggered too late in the session for entry (15:48 ET). 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3867.00 stop 3861.25. Short 3951.50 stop 3957.25.

The World Sentiment Index: (+100/-100) DUMPS from +50 to -21 with most major world markets mildly Bearish with low volatility. Historically the close was higher than the open 55% of the time. 

Catalysts: Powell speaks @ 9:00. Waiting on CPI data Thursday.    

Quick Tip: Open to Change

About a year ago I wrote a blog on being “open to change.” The idea came from an article I read about five top Wall Street traders’ thoughts on how to deal with disruption in the markets. There were plenty of differences between them including chosen asset class, style, strategy, all the typical things. 

There was one huge ...

Results of Friday’s Best S&P Turning Points: The suggested short @ 3902.25 ran for 16-points. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3892.50 stop 3887.50. Short retracement up to 3913.00 stop 3918.75 on the breakout down. 

The World Sentiment Index: (+100/-100) JUMPS from +21 to +50 with most major world markets mildly bullish with low volatility. Historically the close was higher than the open 46% of the time. 

Catalysts: Nothing on the economic calendar. Worries about earnings season are spreading.   

Quick Tip: Big Picture

Novice traders focus on how much they are winning and losing. Every entry, hoping for a winner. Every stopped exit, wishing it didn’t happen. This is incredibly destructive behavior. You’re teasing your emotions, begging them to overrule your common sense. 

Here’s how to stop: 

1. ...

Results of Thursday’s Best S&P Turning Points: Once again, neither suggested level triggered. They remain active today. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3811.00 stop 3806.75. Short 3902.25 stop 3908.00.   

The World Sentiment Index: (+100/-100) DROPS from +50 to +21 with most world markets mildly bullish with low volatility. Historically the close was higher than the open 55% of the time. 

Catalysts: Employment Situation @ 8:30. Factory Orders & ISM Services Index @ 10:00.  

Quick Tip: No FOMO

Seasoned traders spend time on the review process. They document every trade their strategies set up, taken or not. They compare their results (behavior) to their plan. This is an excellent way to improve incrementally and get more disciplined and confident. 

There is a “downside” you’ll need...

Results of Wednesday’s Best S&P Turning Points: Neither suggested level triggered. They remain active today. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3811.00 stop 3806.75. Short 3902.25 stop 3908.00.   

The World Sentiment Index: (+100/-100) remains at +50 with most major world markets bullish. Historically the close was higher than the open 46% of the time. 

Catalysts: International Trade & Jobless Claims @ 8:30. EIA Petroleum Status Report @ 11:00. 

Quick Tip: Expectations vs. Reality

People are impressionable. Sometimes that can be a problem. We can have great expectations that don’t match up with reality. A perfectly fine trading result can seem like a failure after experiencing a big win. 

Here’s an example. Let’s say the first time you traded the levels shared in this blog your first trade was a 40-point...

Results of Tuesday’s Best S&P Turning Points: The suggested buy @ 3846.50 stopped out. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3811.00 stop 3806.75. Short 3902.25 stop 3908.00.   

The World Sentiment Index: (+100/-100) EASES from +67 to +50 with most major world markets bullish. Historically the close was higher than the open 46% of the time. 

Catalysts: ISM MFG Index & JOLTS @ 10:00. FOMC Minutes @ 14:00. 

Quick Tip: Managing Drawdowns

All trading strategies have drawdowns (a protracted losing streak). The challenge is trading through them. You can’t stop thinking that it may “never come back” or churn for an extended period.

Then you get FOMO and think if you stop now it will roar back and you’ll miss the gain.

Obviously, these thoughts are destructive. Don’t go there. 

Last month our intraday trend strategy for oil...

Results of Friday’s Best S&P Turning Points: The suggested buy @ 3830.50 ran for 23 points. The suggested short @ 3902.25 didn’t trigger until 4:06 AM ET this morning and ran for 24.25 points to the next volume level. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3846.50 stop 3841.25. Short 3924.50 stop 3930.25.   

The World Sentiment Index: (+100/-100) JUMPS from -21 to +67 with all open major world markets bullish. Historically the close was higher than the open 63% of the time. 

Catalysts: PMI MFG Final @ 9:45. Construction Spending @ 10:00. Mood is bullish starting the new year as Covid in China appears tamer… for now. 

Quick Tip: Set Trades Early

If your strategy allows for setting your trades in advance, like our volume-at-price and advanced supply/demand strategies, do it early. Why? Because the Globex...

Results of Thursday’s Best S&P Turning Points: The suggested short @ 3857.50 reversed for only 5.50 points. The prior buy and subsequent buy were runners for 27 and 23 points (see chart). 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3830.50 stop 3826.25. Short 3902.25 stop 3908.00   

The World Sentiment Index: (+100/-100) DIPS from -14 to -21 in a world of mixed sentiment and low volatility. Historically the close was higher than the open 56% of the time. 

Catalysts: Maybe Chicago PMI @ 9:45. Little optimism to be found ending 2022 with sizable losses in the major indexes.  Going forward the same hangovers exist; Ukraine war, recession possibilities, higher interest rates, and inflation. 

Quick Tip: Optimism & Pessimism

Can they co-exist? Should they? Yes, but on different levels. 

Starting the New Year, it’s common for you to...

Results of Wednesday’s Best S&P Turning Points: The suggested short @ 3875.50 missed entry by 2 ticks and was the high of the session. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3811.00 stop 3806.75. Short 3857.50 stop 3860.50.   

The World Sentiment Index: (+100/-100) DROPS from +21 to -14 in a world of mixed sentiment and low volatility. Historically the close was higher than the open 74% of the time. 

Catalysts: Jobless Claims @ 8:30. EIA Petroleum Status Report @ 11:00. Renewed concerns about Covid. 

Quick Tip: Test More

Your strategy is working just fine. You finally found your trading “rhythm.” Your account is growing and you’re ready to start taking a paycheck (which you should, make those gains tangible). But...

Boredom is setting in. It’s all too mechanical. The challenges you cherished and were passionate about...

Results of Tuesday’s Best S&P Turning Points: The suggested buy @ 3863.50 stopped out. The breakout short from that level ran for 18.75-points. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

No good buy level nearby. Short 3875.00 stop 3880.25.  

The World Sentiment Index: (+100/-100) DUMPS from +70 to +21 in a world of mixed sentiment. Historically the close was higher than the open 55% of the time. 

Catalysts: Maybe Pending Home Sales @ 10:00 but not likely. Mood is cautious. 

Quick Tip: Know Your Next Move

The volume levels suggested in this blog are two of the many on our charts. They are chosen for you, and I think they are the “best” for that day. But I’m not always right. In fact, I’m probably wrong half the time. Kind of like trades. 

Yesterday’s buy level failed. The breakout short was a modest winner. Cover your loss and then...

Results of Friday’s Best S&P Turning Points: The suggested buy @ 3835.75 ran for 35.75 points that you shouldn’t have gotten. 

Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets): 

Buy 3863.50 stop 3857.75. Short 3924.50 stop 3930.25.  

The World Sentiment Index: (+100/-100) SOARS from -7 to +70 in a bullish world. Historically the close was higher than the open 63% of the time. 

Catalysts: International Trade @ 8:30. Home Price Index @ 9:00.  China opens. 

Quick Tip: Filtering Winners

Friday’s buy level sure looks good in retrospect (see chart). Although the suggested stop was touched, the market was moving wicked-fast so taking this trade would have required a bit more room. 

Hopefully, you didn’t take it. Why not? Because this occurred during the Personal Income economic report which created extreme volatility,...