Market Watch: Is the Rally Over or Are Bulls Still Safe?
Market Watch: Is the Rally Over or Are Bulls Still Safe?
Is the market safe to buy here?
Good morning, traders.
As we continue to monitor the financial markets, we want to share with you some of the key technical events that are currently unfolding.
Yesterday, we were thrilled to see the success of our day trader report, which had outlined a strategy for going long on $META if it broke above $184. Our gameplan proved accurate, as the stock ran from $184 to $197.30, resulting in a significant percentage gain in just one day.
Also, a big CONGRATS to everyone on $LCID! We featured this to go long on $LCID at $12, and it too saw a significant increase, reaching $13, resulting in a substantial percentage increase in a single day.
These winners yesterday are a testament to our strong track record in hand selecting stocks and tracking market trends, and we remain dedicated to providing you coverage of stocks we feel have the best potential!
+7% in 1 day and +8% in 1 day is a massive move and a BIG DEAL!
It is a big deal because we are not a report that covers 30+ stocks in a single report!
How the heck are you suppose figure out what stock out of those 30 stocks are the best? We MAKE IT EASY by only featuring a handful of stocks that we feel have the brightest potential for upside!
In fact, we featured only 3 stocks in our daytrade segment yesterday, META, TSLA and LCID! So once again congrats to all of our readers on those moves!
In this quick briefing I just wanted to share a few charts with everyone to help you manage risk and help you decide how aggressive you should be!
Where many traders go wrong is they size up low conviction trades on large position sizing! As traders we have to different our position size based on conviction and risk/reward.
When the market is clearly bullish with bright technical conditions then we want to size in heavy but, when the market has ran up and is over bought in the near term then we want to use reduced position sizing!
Why?
Because a pullback could be likely, or a sideways period could be likely, and we do not want to be in full size in a lower conviction period!