If you are feeling anxiety about the current market, that means you are probably positioned incorrectly in your trading. This is from the voice of experience! Knowing that candlestick signals and patterns produce high probability results, feeling anxiety means you are not doing what the candlestick charts are telling you to do. This reality check is what has solidified the acknowledgment of what the candlestick signals are telling us at the T-line. Witnessing candlestick sell signals, in the overbought conditions, in the indexes, and witnessing closes below the T-line cuts through the emotional hopefulness that long positions are going to continue to move in an upward direction. As the Japanese rice traders profess, let the markets tell you what the markets are doing. Visual confirmation that the bears are starting to take control allows the candlestick investor to move from long positions to short positions, eliminating the emotional decisions. The T line is one of your most effective trend analytical tools. The T-line truisms are extremely high probability confirmations of bullish trends or bearish trends. Mark your calendars! February 5, a Saturday, will be a full-day training on power signals and patterns that produce extremely high probabilities you’re going to be in a correct trade. They work as effectively on the short side as they do on the long side. Using that information allows for identifying which positions are the best/strongest to move in a specific direction. Currently, the metals are starting to be sold off. NMG, HBM, AA, CENX, SYNL. The shipping stocks are starting to turn over, SBLK, ZIM, GNK, GSL. If the downtrend of the markets is continuing, the higher the probability trade setups are downtrends that are just starting from the oversold condition versus attempting to short positions that have already had excessive downward moves.
January 21st Daily Market Comments
What is really fun? Being in the right direction of a market trend at the right time. And it does not take a tremendous amount of analysis to be in the correct direction, the T line rule working in conjunction with candlestick signals produces high probability results. A good example,NFLX, ROKU. Stay predominately short until you see buy signals.