The Trading Kill Zone And The Election. Two Nightmares For The Uninformed.

Welcome back everyone! I hope you all had a fantastic trading week!

The kill zone is still in full effect. We had the kill zone back there before. I wanted to see a break out and break down from that. We did break down from that and it led to some phenomenal trading. We are now back in the kill zone with the rising speed lines and the falling resistance. We are even seeing that on the DAX. We also see that on the NASDAQ, the DOW, the RUSSELL, and the S&P. You will notice we hit some of the key resistance levels. We ended up bouncing right off them to the downside. The kill zone is a ricochet market that is caught between the rising support and falling resistance.

People are starting to think that this is it! They ended up wanting to go long. However, they are actually going long in one of the worst possible spots. That is especially true with days like today.

Apple was in trouble today. We had some great sell signals on the Institutional Indicators that I have. They got compounded and ended up getting pummeled. It went right back to having fresh sell signals once it broke below the buys. It ended up taking off like a rocket to the downside. That was Apple today.

We basically saw the NASDAQ do the same thing. There were sells after sells on the ITP. There was a short term cover, followed by another move to the downside. I obviously was shorting to the downside in the Live Trading Room.

Because we were at the upper end of the falling resistance, I didn’t want to go long. My concern was it would end up rolling over. If you are trading equities, this was no problem. You could just trade Apple directly. All of these things apply.

We are now back into the kill zone here. We really need to watch out. We are still hitting the channels and pulling back. The channels are still the key resistance that I warned you about. The kill zone is well defined. The election next Tuesday will surely have a big impact on the market and volatility. It is a great time to be a trader! I gave you all some great tools to use at the last Wealth365 Summit. This is just an exciting time to be a trader. I wouldn’t get involved in any swing trades till after the election in my opinion. I am going to enjoy the short term trades between now and next Tuesday.

I look forward to seeing everyone in the Live Trading Room or in next week’s videos!

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