A Market Punctuated by Steep Retracements

Last week’s bulletin was titled: << ‘Mixed’ Market Reaches New Highs >>

And that turned out to be a pretty accurate way to phrase it …

Because while the S&P and Dow were reaching new highs, we were still seeing steep retracements and decent setups were forming false breakouts and whipsaws.

So, ultimately not the easiest environment but there is a way to navigate it.

Pullback reversals (with consolidations where possible).

This is a great setup that many of our members naturally gravitate to, and it’s perfect for these conditions.

In fact, one of the quant projects we’re working on right now is a short term market indicator where we can deduce which of our favoured setups is optimal for a particular time in the market.

So, when the markets are selling off, but the medium term trend is still looking bullish, then the pullback reversal consolidation is ideal as it avoids those stocks that look good for flags but are perhaps over-extended.

Now, of course there are many stocks that do become over-extended and then they keep going for weeks after.  And there will be optimal times to go for those too, say in the immediate aftermath of a market sell-off.

Ultimately I only want indicators with a proper context and proper purpose.  This new market indicator will have both.

Talking of new tools, in advance of my Miami OptionEasy Bootcamp 2021, we will be making huge upgrades, and all attendees (it’s all remote this year) will receive a gift pack which looks like this, with all items showcasing our new branding that will go live shortly after the event.

So this will be a special “First Edition” set!

And here are the new tools that we’re on the point of launching:

  • The new OptionEasy VIP TradeFinder and individual options strategy TradeFinders.
  • The new OptionEasy Pricer that will update and combine the existing Pricer and Leverage Calculator into one.
  • The new Stocks Profile page … imagine a situation where you can pull up a stock and instantly see which options strategies it qualifies for.
  • The new filters for meme stocks and short interest stocks.

And of course more upgrades will follow in the weeks beyond that, including the new OptionEasy Strategy Analyzer which will include a “Scenarios” widget.

Watch for my emails as I’ll be doing demos as these new tools will be released.

In today’s OVI Market Review, despite the slightly treacherous conditions I focus on the bullish setups, but specifically those that are consolidating near their Key Levels.

In the meantime, if you want more information just book in a session to talk through your needs with my Support team at www.ovi.to/consult.

PS. If you’re interested in any of our OVI trading services for stocks or options such as a fast-track mentorship or workshop event, book yourself an appointment here to speak with us. Many of our members aren’t aware of all the services we offer to help you become a more ‘informed’ and confident trader with the OVI. Remember, everyone is an individual, and we ensure that we can cater to you and your particular needs.

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