Hey friend,
The official employment report came in this morning.
It showed non-farm payrolls rising by 57,000 in June, and the unemployment rate falling slightly to 4.2%.
While the drop in the unemployment rate was above expectations…
The job additions were far below expectations – with economists forecasting nearly double that.
Let’s see how the markets have been moving.
The Daily Direction
Note: Indexes closed largely lower yesterday but opened higher today – keeping all index directions in the green.
The Daily Nugget
Rigid principles – fluid tactics.
There are lots of seeming contradictions in trading.
On one hand you see pro traders adhering strictly to certain rules…
While also telling you to be flexible at the same time.
On the surface, it seems like a contradiction…
But when you dive deeper, you’ll understand what’s really going on is today’s Daily Nugget:
Rigid principles – yet fluid tactics.
This is a common piece of advice on the battlefield…
But it applies to trading (and other areas of life) too.
You stick with solid underlying principles that never change…
But the tactics that lie above those principles are fluid and ever changing.
For example…
You always set stop losses…
You always systematically take profits…
You only take trades that match your proven strategy.
Those are the rigid principles.
But the tactics can stay fluid.
Which sectors and stocks you target…
Whether you size up or size down…
You got to be agile and adapt to the market.
An important reminder when interpreting trading advice.
Enjoy the long weekend.
The Traders Agency Team