Google and Microsoft reported yesterday with pretty different news. As we mentioned in the last post, the numbers often don’t mean as much as what they lay out for the coming months. This is evident in the overnight reaction to those earnings calls with NASDAQ futures taking a hit.

If you look at the chart there are some really interesting signs that highlight what is going on. This is pretty tough to trade but the strategy we talked about that looked great on Monday, not so great yesterday, looks much better this morning. I-told-you-so rights aren’t worth much but the lesson you learn is priceless.

Let’s look at the chart and see how to best exploit this chaos and put some money in the bank.

Looking for one trade a week that you can take even if you have a real life that doesn’t give you much time to trade? Searching for a steady weekly trade to take to buoy your trading and protect your account? This is the way to go and you can get it for just $1. Take a look.

This is one step back to look at the weekly chart. We still have more earnings to come after the close today so even though this week is currently showing an up bar that broke the downtrend, the week ain’t over yet.

As much as I would like to start counting my chickens and say my hunch paid off and rationalize breaking my trading rules, it is an opportunity to be smart. Everything is pointing to a down day today and if there is a window to break even, cut losses on that SQQQ trade, it is smart to consider that off ramp.

But I am banking on this weekly chart. If we get a really ugly day today, this chart is going to look like the downtrend is in control and there is more blood to spill.

As always, consider your risk style and make the trade that fits for you. More important than anything else is to make sure you are still in the game for the next trade.

Keep learning and trade wisely,

John Boyer

Editor

Market Wealth Daily