Reading Stock Charts is Like Studying Foot Prints
★ SUMMARY ★
Welcome to the Rapid Recap it is September 3rd 2015 so welcome to September as we conclude the summer months. Now more trading volume should pick up. We have the school season that started more people are probably back into the rhythm starting in the next couple of weeks and then we’ll have the holidays approaching which sentiment always tends to be a little more positive.
There’s usually a more positive spirits as we approach into these winter months so this week’s Rapid Recap the topic of discussion is about reading Stock Charts is Like Studying Footprints.
We’re going to cover a handful of stocks and the ones that we’ll cover let me just pull out this Trello so this week we’ll be covering the S&P, the Dow Jones and we’ll talk about Apple, Halliburton, Solar City. AMTD, GoPro and SUNE.
We talked about GoPro in the past Rapid Recap we also talked about in the critical charts and it’s moving really well to the short side along with Apple and a few others. I’m only covering a handful of these because for the sake of simplicity and also that many more and other charts are listed in the critical charts so my goal this week is of course the lesson and will cover a couple of charts but if you want more in depth charts and more stocks then they’ll be in the critical charts over there that I posted just the other day.
Let’s start out with the overall market how things are going what’s happening and what’s going on with the Dow Jones and the S&P. If we take a look at the overall market we take a look at the weekly this was our critical line right here the line of support or the line in the sand as they say and this line was broken. Now if we do a breakdown on a day-by-day the line broke we had a couple of days of follow-through then we talked about last week that it was possible I said it was possible that it could come back to retest this level.
If it did that if it came back to retest this level or showed any sign of weakness then you would see me shorting the stock. Now it didn’t get all the way as high and what does that mean? If it doesn’t get as high it to come back higher here and then reject what does that mean? It means that the market was even weaker than I anticipated or even hoped. So what does that mean? Does that mean I don’t take the trade nor do I still take the trade.
Well, if I see weakness coming in I noticed and I was planning for a second selloff, watch the previous Rapid Recap watch that Rapid Recap on the market from last week. Watch that Rapid Recap and I discussed it very clearly i think it’s a forty minute video where I gave you some contingency plays that if the market came back up here and then rejected it I would short the stocks again or I would short the market.
If it came back here powered through and there was weakness sideways then I would wait for it to short again. Now if we powered really high really fast then chances are it would sell off again because it would go up too fast too quick so there’s a lot of different contingencies that I talked about now when the market doesn’t go up as high as you anticipate this means that there’s even more weakness.
The market if we look at it right here it bounced on 826 with two hundred and 7.9 million shares then we did 171.5 million on the next day so that was on 827 so we had two hundred and seven million and then we had a hundred and seventy one million then we kind of isolated didn’t fully rollover but you can see weakness it didn’t continue moving higher we moved sideways basically on Doji idling at 131 million.
★ SHARE THIS VIDEO ★
★ SUBSCRIBE TO MY YOUTUBE: ★
★ ABOUT TRADERSFLY ★
TradersFly is a place where I enjoy sharing my knowledge and experience about the stock market, trading, and investing.
Stock trading can be a brutal industry especially if you are new. Watch my free educational training videos to avoid making large mistakes and to just continue to get better.
Stock trading and investing is a long journey – it doesn’t happen overnight. If you are interested to share some insight or contribute to the community we’d love to have you subscribe and join us!
STOCK TRADING COURSES:
STOCK TRADING BOOKS: