Rob Reviews The InterMarket Correlations Powering The Current Move

Welcome back! We’re going to focus on two things tonight. As we take a look at this particular session. This really ties well with what I’ve been telling you in the nightly videos. Historically the Russell was the leader of this particular move but recently we’ve been pausing on this while the market was still powering ahead. We said unless that Russell can get back in the game, hold the 1500 level and push back above the speedlines at the 1505 level, that would bode very poorly for the market as a whole. Today, we did hold the 1500 level and charged up. That allowed us to maintain footing on the S&P, still hold on the NASDAQ, DAX and Dow (which was the strongest).

Here are the key thoughts going into tomorrow and then in the class tomorrow night, I can look at as many examples as you want. We’re right now at a key level. I want to stay above 1505 to continue to look at long-side trades in this market. I want us to hold here, gain footing and start eating away at this distribution that’s in the backdrop. I want to see the previous leader become the leader again. We also had 50% off the high on the S&P today as well as the NASDAQ and the DAX. These are all going to be distribution bars going into tomorrow’s session. I want to see the Russell hold to 1505, take off and start to eat away at that resistance then I’ll look aggressively for long-side trades. If at any time these other three indices that came 50% off their high start falling below their speedlines, that’s going to be problematic. That’s about 13000 on the DAX, 6103 area on the NASDAQ and 2554 area on the S&P and the 1505 on the Russell. If we start falling below those levels, I’m going to be very concerned and I’ll be looking for short-side trades more aggressively at that point despite if the Dow is holding or not.

That’s the strategy going into tomorrow and is serving me best. Speaking of which, tomorrow I’m doing a special class for you guys on the strategies that are making me profitable right now. Normally I talk about trend trades but tomorrow I’ll be talking about sideways market trades. I have some really good ones that are working well with the trend trades. It’s going to be a great class. I’ll be looking at some examples and things you want me to analyze for you as well.

Go to www.becomeabettertrader.com/best to sign up. I’ll see you in tomorrow’s live trading room, the nightly videos or in tomorrow night’s class.

Have a great evening! See you tomorrow night!

To learn more about Rob Hoffman Trader visit www.becomeabettertrader.com!

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