Dominate market volatility: adapt to the new market environment

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Bulls on Wall Street

Sell ​​in May, go away. Currently, a number of global news catalysts are bringing the major indices and individual stocks.

While the indices have seen a decent decline, individual stocks have been brought to their knees.

SPACs. EVs. All fan favorites. It’s time to adapt or perish.

In my final video lesson, I’ll explain how to adapt to this volatility, what strategies are working right now, and what stocks and sectors to watch:

What is working right now?

You must have a nimble tendency. We recovered on days when we are a long way apart. But the next day we give everything back. The main indices are not yet out of the woods.

What I have told all of my students: expose yourself for the first 15 minutes or act in a smaller size. Wait for trends to form and be confirmed. If you get on the wrong side of a trend and fail to manage your risk, it will have catastrophic consequences for these market conditions.

The market turns every year. You cannot get locked into sectors and stocks. Nothing stays in the game forever. Our goal as momentum traders is to find sectors with trending and liquidity.

Stop holding back

There are currently a record number of retail bag holders in stock. So many retailers are underwater in EVs, SPACs, and the sectors that have been hot last year. Right now these sectors are dead. There is no point in tying your hard-earned capital into companies that are being destroyed. Take the loss and turn your capital into trending stocks.

Merchandise games

One of the strongest sectors at the moment is resource games. With inflation, precious metals and commodity games go to the moon. Stocks like $ FCX have been in monster runs and offer some of the best swing trading opportunities right now.

Perform sector scans in TC2000 every day. I do 30 day sorts to quickly identify strong sectors and then select the strongest stocks in those sectors (click here to get my TC2000 scans if you want).

Short circuit tech

Tech has seen an insane sell-off. The topic we discussed earlier continues in the tech area: FAANG and the $ QQQ are corrected while all growth names are in a direct bear market.

Keep rallies and shrinkage levels short. One of my favorite strategies for these names is the VWAP fade. Be sure to check out the video lesson above to see how I used them for these names. Be patient for your entries, don’t chase the weakness and add to your winning trades!

Take part in our 60-day Live Trading Boot Camp

Are you struggling with current market conditions? In our Boot Camp, you will learn about 18 trading strategies that you can use in all market conditions. Bull markets, bear markets, sideways markets. The early bird prices end this weekend!

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