| Posted in PREPARING FOR THE MARKET DAY | Posted on
The closing bell signals the start of preparation for the next market day. Use this valuable time to
measure current cycles and find winners for the next session. Probe markets for the best new
opportunities and apply price chart techniques to identify the likely trading conditions. Take a look
back and critique actions taken during the preceding session. Adjust watch lists to remove lost
opportunities and add new stocks that show promise for the future.
Update the personal trading plan and current strategy after reviewing the events of each session.
Make small strategic adjustments on a daily basis, but do significant editing only after weeks of
data mining and personal introspection. Look back at the day with complete honesty. Were exits
taken when offered? Did hope replace good judgment? Were personal rules followed, and did that
make a difference in the profit and loss statement? Make sure to revise all trading records daily to
avoid a backlog of old tickets and account statements.
Every market of interest generates new feedback as the trading day comes to a close. Trendlines
break and shock gaps change important assumptions. Significant news may dictate new strategies or
establish a fresh bias on short-term direction. Review specific issues that will likely move the
markets when the new day begins. How has sentiment changed and what impact will it have on the
crowd? Quickly categorize the current market and refresh tactics that will respond to it.
Review the economic calendar for important government reports. Exercise greater caution on
Fridays that release the unemployment report or unwind options positions. If volatility will surge
sharply due to unpleasant news or conditions, don’t hesitate to take the day off and let the
competition assume the risk. The market will still offer many opportunities after others get caught
in sharp whipsaws or take dramatic profits.
Avoid information overload. Set aside a reasonable time for preparation and limit analysis to focus
on key stocks and indices in detail. Reduce watch lists, news, and charts until they conform to a
healthy personal lifestyle. Get recreation, eat right, and get plenty of sleep before the new market
day begins. Exhausted swing traders make terrible decisions.
Use the quiet hours to locate and evaluate trade setups. Hurried analysis of new opportunities during
the market day invites danger. Important charting features go unnoticed and the pulse of the Level
II screen becomes difficult to ignore. The swing trader also faces many chores that interfere with
clearheaded reward: risk evaluation during the active session. Prior preparation frees the schedule
so that the active session can receive full attention.
When the market opens, be prepared to respond to a flood of fresh data quickly and without
hesitation. Apply original 3D chart skills that quickly filter opportunity and manage risk. Use new
twists on classic strategies to place each issue within its Pattern Cycle and generate continuous
feedback through all conditions. Watch the ticker closely to defend against external influences, and
exercise tactics that swing against the crowd to book consistent profits.
measure current cycles and find winners for the next session. Probe markets for the best new
opportunities and apply price chart techniques to identify the likely trading conditions. Take a look
back and critique actions taken during the preceding session. Adjust watch lists to remove lost
opportunities and add new stocks that show promise for the future.
Update the personal trading plan and current strategy after reviewing the events of each session.
Make small strategic adjustments on a daily basis, but do significant editing only after weeks of
data mining and personal introspection. Look back at the day with complete honesty. Were exits
taken when offered? Did hope replace good judgment? Were personal rules followed, and did that
make a difference in the profit and loss statement? Make sure to revise all trading records daily to
avoid a backlog of old tickets and account statements.
Every market of interest generates new feedback as the trading day comes to a close. Trendlines
break and shock gaps change important assumptions. Significant news may dictate new strategies or
establish a fresh bias on short-term direction. Review specific issues that will likely move the
markets when the new day begins. How has sentiment changed and what impact will it have on the
crowd? Quickly categorize the current market and refresh tactics that will respond to it.
Review the economic calendar for important government reports. Exercise greater caution on
Fridays that release the unemployment report or unwind options positions. If volatility will surge
sharply due to unpleasant news or conditions, don’t hesitate to take the day off and let the
competition assume the risk. The market will still offer many opportunities after others get caught
in sharp whipsaws or take dramatic profits.
Avoid information overload. Set aside a reasonable time for preparation and limit analysis to focus
on key stocks and indices in detail. Reduce watch lists, news, and charts until they conform to a
healthy personal lifestyle. Get recreation, eat right, and get plenty of sleep before the new market
day begins. Exhausted swing traders make terrible decisions.
Use the quiet hours to locate and evaluate trade setups. Hurried analysis of new opportunities during
the market day invites danger. Important charting features go unnoticed and the pulse of the Level
II screen becomes difficult to ignore. The swing trader also faces many chores that interfere with
clearheaded reward: risk evaluation during the active session. Prior preparation frees the schedule
so that the active session can receive full attention.
When the market opens, be prepared to respond to a flood of fresh data quickly and without
hesitation. Apply original 3D chart skills that quickly filter opportunity and manage risk. Use new
twists on classic strategies to place each issue within its Pattern Cycle and generate continuous
feedback through all conditions. Watch the ticker closely to defend against external influences, and
exercise tactics that swing against the crowd to book consistent profits.
