A big start to the week for the stocks as the NASDAQ and Russell 2000 lead the market higher. Volume was mixed as NYSE ended the day higher while NASDAQ volume was lower. After last week’s decline it was nice to see the rebound. We still would like this market to consolidate a bit more here. As much as we would like to control what the market will do next it simply going to happen. There are plenty of stocks giving off new buy signals. Our focus will remain on the strongest stocks and shedding the weak non-performing stocks. Risk managaement is still our highest priority and is the key to our success. Let’s continue to grind with this market and see where it will take us and extract as much as we can.
Let’s rewind back to December when many believed we were going to collapse. Sure, it was a real possibility given how the market was unfolding as Christmas approached. There were few who were trading not how they thought the market would go versus going with the market. There are lots of traders who were left behind because they ignored the trading signals telling them the market was about to rebound. Mind you this rally was quite insane! Since 2008 and 2009 every marker rally looks different than what history has shown. Despite this fact we must adapt to our new reality and we have. Remember, this website has been in place since 2007! Not too many can enjoy our longevity if we did not have a time tested process and of course keeping losses small. Stick with Big Wave Trading and we can help you achieve success.
Once again we have a bunch of new longs for Tuesday’s session. We would think if we were on the cusp of a drop we would see a lack of log signals. In addition, our portfolio would see many exit signals firing. So far, all we have are signals keeping us fully invested. Our situation may change over the next few days, but what is in front of us tells us we should move higher. Stay the course!
We must remain disciplined in our approach and avoid succombing to our emotion. Trading on emotion will only lead to sub-optimal gains and at worse ruin! Let’s continue to focus on what matter and manage our risk properly. We hope you have a great day and week of trading!
