Greetings from Mayakoba, where I’m making a quick visit to help finalize preparations for our OptionEasy Bootcamp in May!
It’s clear that the markets are jittery. One moment they’re gapping up, the next they’re gapping down, only to jump back up again.
In markets like this, it’s always a good idea to evaluate your approach to risk.
I liken it to sailing in stormy weather vs. calm weather. Which do you prefer?
Personally, I prefer calm waters.
Last weekend I suggested that this market has a big chance of a significant pullback – correction if you will – in the coming months.
The week we’ve just had did nothing to change my mind!
After last week’s drama with gold and silver, silver presented bounceback temptation for some traders I know … I didn’t agree, and it didn’t work out for them. This was a perfect example of a lack of structure punishing a gambling approach.
Earnings is still somewhat mixed, so it’s even more vital to be choosy. Our Earnings Calendar is doing a great job of unearthing some good post-earnings setups.
Keep checking into our Telegram groups as there are some big research and software developments that will be game-changers very soon.
And just a reminder of our Options Bootcamp in Mayakoba, Riviera Maya, Mexico on 9-10 May. I’ll be broadcasting from there next week as I scope out the venue!
When it comes to responsible options, no one does it better than us or our tools, so if that sounds interesting, have a chat with us here.
Market Outlook:
This earnings season continues to underwhelming even though the raw numbers suggest a bullish bias. A visual qualitative inspection tells a more nuanced story.
Medium term – after earnings – I still see a likely 10-20% pullback. This will need a confirmation signal though, so I’ll patiently wait, and if it doesn’t happen it won’t cost me anything.
Again, as per the last two weeks, it’s pretty clear that conditions are going to continue being bumpy, so my guidance continues for you to be super fussy, only go for post-earnings setups and don’t let profits slip away … Protect them early. Or stick to dry powder.
Our market commentary continues to be outstanding. Mastering market timing enables you to swim WITH the tide at the right time.
Watch the video for more detail.
Market Timers:
- Longer Term Market Timer (OVIsi):
Green. - Medium Term Swing Timer:
Neutral. - The Main Indices:
The SPY and QQQ’s OVI are red, while the DIA and IWM’s OVIs are blue.
Stock Selection:
Our Earnings Calendar app is such a gift for finding earnings related setups. It would be even better if the markets were friendlier, but we can look forward to that.
This week my focus is again to ensure I avoid stocks with imminent earnings. Again, the Big Money Footprints I focus on most are OVI, Trend Fade and Key Levels. There are a few post-earnings setups, but risk control is a concern in jumpy markets.
** Remember, managing risk in your trade management is as important as trading with higher probabilities. This is very much part of the WiseTraders method, and is our third Master Key. **
Look in our Gift area inside the Platform to watch “How to Cap Your Losses & Protect Your Profits“.
Increasing your probabilities with a logical proven system is an essential part of trading. But you also need a rock solid trade plan that tilts the odds further in your favour.
Our EDGE Trade Plan does exactly that, and you will find trading so much more rewarding and peaceful if you adhere to its principles.
My goto playbook is OVI, near Key Levels, Trend Fades, and a consolidation/sideways move. The other two Big Money Footprints are highly desirable but those four are essential to me! With my new VIP filters, I’m also now looking more at overbought and oversold issues.
Go into the ‘Expert Watchlists’ area of the platform to view my Watchlists for (a) all the stocks I cover in today’s video, and (b) a smaller list that warrant a closer look.
** The list of stocks is in the Expert Watchlists area (just click on my image to see them), so you’ll have to log in to see it. Market Timing will also go inside a login soon. Remember to reference the video commentary so you know what my sentiment is on each stock listed. **
Don’t Miss Out:
Software Upgrades:
More game-changing upgrades will be made in time for the Mayakoba Options Bootcamp on 9-10 May.
Lined up for later this year:
- Market Timing:
A significant upgrade to our Market Timing and Dashboard area is in the works. Stay tuned for any announcements.
- A.I. Interfaces:
If you like using A.I. applications, then you’re going to love a particular development we have in the pipeline for you, namely GPT inside our charting application! - More Automation:
This is likely to result in an overhaul of our Home Hedge Fund / OVIcopilot application, relating to Market Timing and even some stock selection.
- Options Enhancements:
Key improvements have already been made to the Pricer and Analyzer, and more to be made soon. - Dynamic Earnings Calendar:
First release made and more improvements to follow.
More updates are on the way!
Upcoming Events:
Our Options Bootcamp in Mayakoba, Riviera May, Mexico is on May 9-10th! It’s going to be super practical, using all the new enhancements to be released especially for the event. Don’t think you can do options? I’ll prove you wrong!
Watch today’s market review inside the members area here! To the left is the Watchlist area. To the right is the TV area.
How to Watch This Video:
The best way to watch this video so you can flip through the charts at the same time:
- Log into the members area: https://platform.wisetraders.com
- Click on TV within the Platform (top right)
- Choose “On Demand”
- Play
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Remember, you can play the video at 1.25x or 1.5x speed if you want to save time! I have placed all the stocks covered in today’s review in your “Latest Preview” watch list.
