Let’s see how markets have been moving.
The Daily Direction
Note: The “mini-comeback” that started last Friday resumed yesterday, with all indexes and most sectors closing in the green. Still, no change in any index directions except the Nasdaq’s short-term direction barely flipping positive.
The Daily Nugget
Trading is 20% prediction and 80% preparation.
Most people wrongly think that trading is all about predicting where the market is going.
In truth, that’s only 20% of (successful) trading.
The other 80% is preparation – which is far more reliable than any prediction can be.
Preparation means knowing what you’ll do no matter which way the market is moving (even if that means doing nothing or exiting a position at your stop loss).
Preparation is the foundation of long-term success. Prediction is just the spice on top.
So, in these uncertain markets, don’t worry so much about predicting where it’s going to go and when.
Focus on preparation instead.
The Traders Agency Team