Let’s talk about what’s been happening lately….
The market’s been a little… weird.
Not crashing, not ripping. Just moving up and down and unsettled.
One day green, the next day red…
Much of this unusual behavior can be attributed to the world waiting in anticipation of Nvidia’s (NASDAQ: NVDA) earnings release. Wall Street didn’t know what to do, so the indexes chopped around with very little conviction.
Speaking of NVDA, do you want to share in its AI success without actually owning a single share?
I’m talking about making gains from the billions in fees that companies like Nvidia, Meta, Amazon, Google, and Microsoft are paying in “AI Tolls” to access the AI Superhighway.
It’s your turn to be the toll collector!
Savvy investors are quietly setting up what’s essentially a virtual tollbooth inside their brokerage accounts, collecting a share of one of the fastest-growing cash flows out there.
This “AI Tolls” play is still flying under the radar… for now.
But that could change fast on February 16, 2026, when I’m expecting a major announcement from the company driving it all.
Those who move before that happens stand to gain the most.
Luckily, I’ve already done the legwork for you…
Watch my video below to take advantage of one of the greatest trading opportunities AI has to offer!
If you’ve been feeling whiplash from the market, you’re not alone.
But there’s a deeper issue behind all the noise, and it trips up traders over and over again.
If you don’t understand it, you’ll end up chasing strength when you should be buying weakness…
Table of Contents
The Overreaction Trap
I’m going to call it like it is…
Modern traders have gotten a little spoiled.
Years of stimulus-fueled rallies and tech bull runs have conditioned traders to expect green days every single day. Which is why the moment the market takes a moment to breathe, traders freak out like it’s a crash.
But everyone needs to calm down…
Strong markets pull back. In fact, they have to.
Without red days, pauses, or consolidations, they don’t build structure. Instead, they get overextended, unstable, and eventually snap.
Why Small Declines Mean Big Opportunities
Here’s what a controlled retreat actually tells us:
Buyers are still in control:
When a dip happens and key support levels hold, it’s a sign buyers haven’t left. They’re just waiting for better prices. That’s not fear. That’s discipline.
Profit-taking is happening, and that’s good:
After a strong move, smart traders take profits. That doesn’t mean the rally is over. It just means they’re managing risk. When the market absorbs those exits without collapsing, it shows resilience.
Weak hands are getting flushed:
A little red shakes out the over-leveraged and the emotional traders. The real strength shows up when quality names fall back and serious buyers step back in.
How to Spot a Bullish Pullback
Not every red day is a warning sign. Some are setups in disguise, and you can recognize them if you know what to look for.
Here’s what matters:
Volume:
If the decline happens on light or average volume, that usually means no panic, just healthy profit-taking.
Leadership:
Watch how the major sector leaders, like NVDA in the AI space, react. If they’re holding key levels and not breaking down, that’s a strong sign the market’s just pausing.
Rotation:
Look at where money’s flowing. If you’re not seeing a big shift into “safety” plays like bonds or utilities, there’s probably no fear. It’s just a digestion of the dip.
What A Recent Pullback Taught Us
Two weeks ago, the S&P 500 fell by nearly 2%. The headlines went negative. Sentiment flipped. People panicked.
But then, just a few days later, the S&P started grinding back.
Tech stabilized. AI names held up. Even crypto bounced. No breakdowns, no waterfall selling, no flood into safe havens.
Just a breather.
Then, the following Monday arrived, and the S&P came roaring back, recovering most of the losses.
So what did we learn?
It wasn’t the end of the uptrend. It was simply a reset that set up the next move.
My Final Thoughts…
You don’t build wealth by reacting to every red candle.
You build wealth by learning how to spot opportunity inside the noise…
By understanding trend structure, by watching for strong stocks holding support, and by preparing when others are panicking.
So the next time the market wobbles and you start feeling uneasy… Stop. Zoom out and take a breath.
Because in strong markets, pullbacks aren’t something to fear. They’re something to prepare for.
And often, they’re your best shot at catching the next leg higher.
Have a great day, everyone. See you back here tomorrow.
Tim Bohen
Lead Trainer, StocksToTrade