Do you have any core beliefs when it comes to trading the markets?
You know, the beliefs that you stick to no matter what’s going on with Wall Street or your portfolio.
Our most important trading beliefs define how we act in the market. For example, we believe in technical analysis and the idea that the market traditionally follows patterns that can be predicted — like when a market will make a u-turn at a specific price point.
Right now, the Nasdaq 100 is trading within a defined channel that makes it easy on us to comfortably predict when the next u-turn will be based on its support and resistance.
But will these channels continue to hold? Or will the Nasdaq break previous support and create a bullish market trend?