Hey friend,
We got the big CPI report this morning.
Consumer prices rose 0.6% in September, matching the forecast listed on MarketWatch. Annual inflation reached 3.7% – above the 3.6% expected and August’s 3.4%.
Core inflation, which excludes food and energy, also ran hotter than expected: 0.3% for the month versus a 0.2% forecast, and 2.6% annually versus 2.5% expected.
That gives the Fed more reason to remain concerned about inflation ahead of its next rate decision.
Let’s see how the markets have been moving.
The Daily Direction
Note: Indexes closed slightly lower yesterday but gapped lower today on the hot inflation report. The short-term direction for the Nasdaq and the long-term direction for the Russell 2000 slipped into downward territory.
The Daily Nugget
You don’t have to trade every signal.
A strong signal can make you feel as though you have to act.
You’ve found something promising. Passing on it feels like wasting the work you’ve done – especially if the stock takes off without you.
But a signal is a reason to examine a trade. You still have to decide whether the trade works for you.
Maybe the stock has already jumped by the time you see it. Buying now would mean paying far more than you planned.
Or the price would have to fall a long way before the setup fails. Even with a smaller position, that could leave you risking more than you’re comfortable losing.
The signal can be valid and the trade can still be a poor fit at the price available.
Before entering, work out where you would exit if you’re wrong and what that loss would cost you.
If the numbers don’t work, you can wait for a better entry or pass.
You haven’t wasted a good signal. You’ve used it to make a decision.
Learning to spot opportunities is valuable. Being willing to turn one down is part of using that skill well.
The Traders Agency Team
P.S. If there’s one signal you should be paying extra attention to – especially if you have a small account – it’s the unusual trading activity Ross will show you how to track today.
In just a few hours at 3 p.m. Eastern today, he’s revealing a little-known technique that has flagged moves as large as 806% in just six days.
You don’t need $25,000 or $100,000 to start using it.
Ross will explain how it works and show you the top trades it’s signaling right now, so you can see how to evaluate these opportunities for yourself.
Click here to guarantee your free seat for today’s LIVE strategy session at 3 p.m. ET.
P.P.S. If you’re planning to attend on a mobile device, make sure you download the presentation app now so you don’t miss anything when it starts. See you there.
iOS: apps.apple.com/us/app/goto/id1465614785
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