We hope you had a great and safe holiday season. We have quite the market environment and one which likely continue for the foreseeable future. Stocks are set to open 2019 in the red with futures indicating the major averages will open lower by more than one percent. Bear markets can be very difficult for a new trader. Even seasoned traders can get washed up in the wake of a Bear market if they become undisciplined. Most traders make the mistake in thinking they know the end has occurred. Keep an open mind with this current market. Control your open risk through sound money management principles and this bear market will not sink your ability to trade the next uptrend. Despite beginning on a down note, it does not mean 2019 won’t be a great year.
A bear market is a great time to put in the time to study. While we do have intraday trades, there will be ample time outside market hours to dedicate to studying charts and past big winners. We highly recommend you put in the hard work as it will pay off in the long-run. Most traders do not utilize this time wisely and when the time comes they are ill-prepared. The last thing we want to do is miss out on any upside. Cutting losses is the most important piece to our risk management strategy, but losing out on upside can be almost as bad. Stick with Big Wave Trading as we are able to guide you through this rough patch in the market and allow you to be ready when the time is right.
We want to wish ever trader out there the very best as we head into 2019. Be prepared and keep an open mind with this market. There isn’t a single person who knows where this market will end up. We could have a market like 2008-2009 or one where we see the indexes rip to new highs. Stay disciplined and have a great year!
