I just read last week’s opening paragraphs and they sound a little spooky in light of the last few days! Let’s take a look at them again …
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It’s been a great ride, but do be aware that there are dangers when you’re sitting proudly on the back of a succession of great winners.
The two dangers are that the market conditions will change while greed levels keep increasing, leading to sloppy trading as you try to wish-up that next home-run!
Don’t fall into the greed trap. Right now you need to keep focusing on the good habits of the OVI FlagTrader method.
This means stay focused on the ideal setups that embrace the FOUR Big Money Keys, together with the tight consolidation entry area.
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Quite uncanny!
Back to the present, and a few observations …
- While many tech stocks and SAAS (Software as a Service) stocks bore the brunt of this week’s sell-off, the vast majority of our recently highlighted “Four Big Money Key” stocks have either remained defiantly robust or still remain as potential breakout setups – see ADM for one such example.
I haven’t identified all of them in today’s video, but you’ll see them and it too is uncanny. - In the coming days I will be releasing new filters relating to volume pockets, key level breakouts, gaps, earnings, etc. Regarding Key Levels I maintain the most interesting to me is the 200-dma. The reason for this is that stocks breaking and holding beyond this particular level are highly unlikely to be overbought at that time, and will therefore have a better chance of a longer move, bringing P2 into play.
- Oil stocks look weak and look like there’s more downside to follow. I’m just observing for now.
Again, follow the plan, stick to the rules, and TWYS!
