# Should You Ask “Why” in Trading?

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Hey friend,

The Fed minutes yesterday showed that all Fed members voted for the September rate hike.

The weekly jobless claims today came in at 197,000 – same as last week and slightly below the forecasted 200,000.

Let’s see how the markets have been moving.

**The Daily Direction**

![Short-term, medium-term, and long-term outlooks for the S&P 500, Dow Jones, NASDAQ Composite, and Russell 2000.](https://tradersdailydirection.com/media/driver-tdd/85d6a724f99de557e91d959dc66aab3e2c44b9d9ad7b3e99022b080029276275.png)

**Note:** Indexes closed slightly lower yesterday and opened lower this morning as well – sending the long-term direction for the Russell 2000 downward.

**The Daily Nugget**

_**The market can move before the reason shows up.**_

In most situations, asking “why?” is a good habit.

In trading, it can sometimes make you late.

Traders like the market to happen in the right order:

News breaks.

The stock moves.

Then everyone understands why.

But markets don’t always cooperate.

Sometimes the trading changes before the explanation shows up.

A stock suddenly attracts unusual buying. Volume behaves differently. A trade appears that looks completely out of character.

And there’s no headline explaining it yet.

That doesn’t mean you ignore the “why.”

It means you shouldn’t require a perfect explanation before taking the market’s behavior seriously.

Because once the catalyst becomes obvious…

The stock may already be 10%, 20%, or 50% higher.

So yes, ask why.

Just remember that sometimes the market gives you the clue before it gives you the explanation.

![The Traders Agency Team signature](https://tradersdailydirection.com/media/driver-tdd/b3ac24b7f4da731ee1942eda483ce715e7e70a6baaa65ecd3d2bcde2d9f863a0.png)

_The Traders Agency Team_
