Here’s What To Focus On If You’re Serious About Buy Side Trades

Welcome back everyone! Let’s take a look at some key things you need to know about today’s surge.

Hopefully no one was short on the Stock Indices today. It was buy side all day today. The hourly, 15, 5, and 2 minute charts were all buy today. This was all after the elections last night.

What will come next? This will be a nice continuation from what I have shared with you before. We are at the top end of the channel on the S&P, the midpoint of the channel on the RUSSELL, above the channel on the DOW, and the bottom end of the channel on the NASDAQ and DAX. Only the DOW has been getting above that channel. The important part to that is we need ot get above and stay above.

These other Stock indices need to get above the channels as well. This is particularly true for the domestic ones at a minimum. We need to push above them, pull back, hold the channels, and then take back off again. I want to see that this massive resistance that has been here for the past several weeks is now support. That is basically what I am looking for. That would send me green lights for some bigger replacement trades.

There was a wonderful one day rally today. There were a lot of overbought conditions on many charts. The market could have a little pause tomorrow. That is usually what happens. That is fine as long as we start to resurge again. Obviously we would want to get above the channels. It is really all about the channels at this time. These different levels are going to be the ones that you are going to want to watch. That is my story and theme for the next couple of days.

You guys have a great night and I look forward to seeing you guys in the Live Trading Room tomorrow or in tomorrow night’s videos.

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