In my webinars, I often say “I have a feeling…”
Whether it’s about a particular stock or the overall market.
Some days ‘feel’ frothy while other days feel a little meh…
Having a ‘feel’ for the market is something that comes with a lot of screen time and experience.
But there are ways new traders can get a feel for the market too…
I’m sharing one of them today.
Even with my years of experience, I use this to gauge market sentiment each morning…
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How To Read The Market
Professional traders use a ton of tools to help them each day…
Whether it’s screeners to help them find stocks, alerts like the Breaking News Chat to stay on top of the news, or AI and algorithms to help them find opportunities and execute trades.
I use every single one of those tools every day to help me find trades and make the best plans…
And one of them is how I can get a feel for the market every day.
Think back to yesterday. How did the market perform?
Specifically, how did small caps perform? Was it a ‘frothy’ day with a ton of runners, or was it meh?
The overall markets were excited in the morning as all the indexes spiked after the jobs report came out…
But most small caps failed at the open.
From my top percent gainer list, only Swvl Holdings Corp. (NASDAQ: SWVL) had an upward trend.
And in the afternoon I said there was a lot of fizzle out there. Meaning stocks weren’t spiking…
So how could you have known it was going to be a quieter day out there?
You’ve heard me talk about how to use Oracle to find stocks and to make trading plans with the signals and support and resistance levels…
But I also use it to get a ‘feel’ for the market.
Yesterday in my morning webinar there was a lot of red on Oracle. Meaning Oracle had most stocks pegged as being bearish.
Here’s what it looked like…
When I see the algorithm looking that red and bearish, it ‘feels’ like a wait-and-see kinda day for me.
It doesn’t look like the kind of day to be aggressive or oversize in any position.
It looks like a day to be conservative and let stocks prove themselves before taking a trade.
This is why tools and technology are so important to traders. And not just new traders. I use tools and technology every day…
You could even say it’s what separates the losing traders from the winners.
See what else Oracle can do for your trading in one of our live training sessions. We’ll go over the watchlist, the key levels to watch, and how to make trade plans.
Our next one starts soon — register NOW!
Have a great day everyone. See you back here tomorrow.
Tim Bohen
Lead Trainer, StocksToTrade