Up 10 of 11, SPY Still Not Extended
August 20, 2012 at 9:24 am
SPY has made a nice run since early August when a Monday-Thursday pullback was followed by a Friday lift which erased the 4-day slide. We’ve seen consistent follow through since then as well, sending the SPY into Monday having posted gains in 10 of the previous 11 sessions.
A run like that is never something to discount, and if blindly I heard a stat like that, I’d be highly cautious. But in this case, it hasn’t left the SPY extended. It’s up 4% during that time, but the way it has happened has been healthy. The early portion of the run was rapid, then we settled into a rest phase. That pause lasted 5 days, yet SPY only gained $0.46 during that stretch. There was even a decline of a whopping $0.07 (Aug. 13), which isn’t the kind of a reaction the bears can be proud of.
To see this major ETF posting so many advances of late would ordinarily be a bit scary. Technically though, it’s been a sharp rally, a healthy rest, and then some continuation. Why would that be something to fade?
We’re facing 52-week highs in the SPY and S&P 500, but they both still have room to run if the bulls feel so inclined. We may turn lower and this run proves to have been a great selling opportunity. However, the bulls have created higher lows on every single pullback since the June low, and that deserves respect. I’m not about to bet against them.
Here’s a closer look at the chart of SPY for you:
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
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5 Ways to Dodge Doubt in Your Trading
July 17, 2012 at 10:28 am
“Quite some time…I been sittin it out…didn’t take no chances…was a prisoner of doubt.” – Straight On (Heart)
In a previous post, I covered some of the steps necessary to recover from deep trading wounds and what it involves to start moving past the pain and toward progress again.
Taking a big hit in your trading often sidelines you, either literally or (even worse) mentally. I know from experience! And while there are times to take a break in order to avoid doing further damage, at some point, you still have to get back on the horse and overcome those doubts.
But how do you go about doing that?
When your account and confidence have taken a sizeable reduction, there’s a ton of doubt to get past, so let’s look at 5 ways to do that.
1.) Take it down a notch. And you know exactly what I mean. When you’re starting out or starting over, you have to start small. Small enough that it’s all about the process and not the result. By doing this, you’re setting the tone for growth again, you’re respecting the market, and each trade takes on minimal significance while you’re getting back into the right habits.
2.) Get specific. By narrowing your focus to that which you should be doing, by default you can eliminate much of the fear you may be facing, as well as a lot of the trouble which comes with a fly-by-the-seat-of-your-pants style of trading. Without a game plan, you’re playing the guessing game. Understand which conditions you’re facing, and go with the strategy best-suited for those conditions.
3.) Set realistic expectations. As much as you might like to, don’t expect to make it back right away. Big expectations may be what got you in trouble to begin with, so curb your enthusiasm a bit and aim to just get the bat on the ball first. The idea is to start a foundation which can support bigger and better results, but right now it’s first things first, so look to start small.
4.) Keep risk in check. As noted in the point above, you can’t just go swinging for the fences. To avoid that, have a risk per trade amount that’s appropriate for the fresh start you’re making. And be careful with how many positions you’ll carry at once, at least until you’re back in the flow.
5.) Hit singles. Early on, the aim is to get on base and establish a rhythm of success that can be built on. By selecting high-probability setups with defined risk, you’ll increase your odds of getting into that rhythm and start marking some results in the black – just what you need the most.
** What are some other ways to get beyond fear and doubts on the road to a trading recovery? What has worked for you recently or in the past?
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
What TheStockBandit is About
July 10, 2012 at 12:51 pm
I don’t make it clear often enough here just what TheStockBandit is all about, so I wanted to take the time in this post to clearly explain.
We have a network of sites which are all dedicated to making better traders.
On the free end, we have the blog here with currently over 700 articles and free videos – with more being added every week. Thanks to those of you who never miss a post – I’ll continue to put out my best even if your readership is as far as this relationship ever goes.
On the paid end though, we have 2 sites with different purposes for those wanting to go deeper…
First is TheStockBanditUniversity.com, which is where you’ll find our video-on-demand trader training courses. There are 2 courses there now (Basic & Advanced), with plans to add more in the future. I personally put the courses together to meet the needs of both newbie traders (Basic Course) and experienced traders (Advanced Course) in order to get them to the next level. All courses come with a money-back guarantee, although over 85% of those who have enrolled in the course never asked for their money back – a statistic we’re proud of which shows the obvious value provided in the course.
Next is TheStockBandit.com, which is our subscription-based membership site where I personally put out a nightly newsletter (often with video) sharing a number of important items. I begin with broad market analysis by discussing the current conditions and pointing out key levels to watch for, then get to individual stocks. I’m highlighting the setups/patterns which are building right now and talking about what it will take for those patterns to confirm, and I’m outlining my personal trading plan for tomorrow’s session by sharing the stocks, levels, and rationale behind every trade. Periodically there are trading lessons shared and special members-only features as well.
Should you happen to continue reading the free blog and enjoying the free videos, then great. I’m here to help you get better, and you should feel zero pressure to do anything further.
However, if the things I’m sharing with you here are connecting with your needs and you’d like to dig in for a deeper market education, then we’d love to help you get started and you’re in the right place. Check out the details on the stock trading courses as well as the stock pick service – both are risk-free and I stand behind them fully.
Thank you for reading, and I’ll of course be back shortly with more good stuff for you, just wanted to be sure you understand our brand and what we stand for since I haven’t made it clear in a while!
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
Shifting from Smart to Equipped
June 28, 2012 at 10:33 am
One of the things I love about TheStockBandit University is the opportunity to interact with the traders who enroll in the courses. As they’re learning and asking questions, I have the chance to see the light bulb go on when things begin to click for them. It’s very rewarding.
Recently a trader reached out to share his thoughts with me mid-way through the courses, and I just couldn’t help but share it with you here. This is what he wrote:
“I have just finished the “basic” course. I thought I would have a lot of questions, and I would be pestering you with emails along the way, but I have no questions. You answered them all and many besides. Perhaps, you gave me the skills and confidence to answer my own questions. Something happened anyway.
The “basic course” is very comprehensive. I’m excited now. I have gleaned lots of ideas from your presentation to improve my trading plan.
I’ve been to university, I have a degree in medicine. I can’t remember though, ever coming across such an excellent teacher. I suspect your teaching is spawning leaders in the field rather than followers.
On with the Advanced Course now. Can’t wait!
M.P.
That is so cool. This already smart trader is now equipped – and there’s a huge difference. That’s exciting to me, that the work I put into the courses is paying off for this trader. More importantly, his own efforts in the learning process are rewarding him with the ability to be self-directed in the markets. He’s no longer a slave to a single trading style. He no longer needs the market to do something specific in order to find success.
I rarely share testimonials here with you, but this was one I had to pass along for those of you who are on the fence when it comes to taking the next step toward becoming a self-directed, complete trader. Our stock trading courses are risk free – there is zero barrier to kicking the tires. Enroll today and find out for yourself what it’s like to be prepared for whatever the market throws at you.
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
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TC2000 Club
June 25, 2012 at 3:34 pm
I’ve been a user of TC2000 charting software since 1999. I believe it’s the best, and it keeps getting better, so it’s no wonder I’ve stuck with it.
One element Worden has maintained all along is the Clubs feature. Through clubs, you can access various items from the club owner. I have my own TC2000 club in which I share charts on a pretty regular basis. I may point out setups which offer some kind of lesson, or they may be setups I’m watching for upcoming moves. Either way, they’re free ideas for those inside the club. By the way, the club is free to join – you simply have to be a TC user. Then anytime I share charts, you see them!
To join TheStockBandit Club, just visit www.TC2000.com/TheStockBandit and click the “clubs” link at the top of the page for instructions to join.
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
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8 Years!
June 21, 2012 at 4:09 pm
Today we celebrate 8 years of service, marking another meaningful milestone for us at TheStockBandit.com!
Way back on June 21, 2004 after the encouragement of friends (and friends of friends), I started putting out a nightly report through the website rather than just forwarding an email.
Now 8 years later, we’re still going strong with the stock pick service which includes market analysis, key index levels, stocks to watch, and of course my detailed trading plan. Additionally, we’ve seen our stock trading courses met with great enthusiasm and incredible feedback due to the way they have helped so many traders develop and improve.
There’s no risk to kick the tires on what we offer, plus I’m always available to help subscribers and course students. For those curious about what it is we do, we’d love the chance to show you what we’re all about.
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
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Denver Traders…
June 1, 2012 at 9:05 am
If you’re a Denver trader or are located in the surrounding area, make plans Friday June 8th or Saturday June 9th to see me present live in conjunction with Worden!
On both Friday & Saturday (June. 8 & 9) at the Worden TC2000 workshop, I’ll be teaching live. It’s at the Denver Marriott West (1717 Denver West Boulevard, Golden, CO 80401). The workshop starts at 10am and ends at 4pm, and I’d love to see you there either day.
Specifically, I’ll show you what’s been working best in the market lately, what looks best going forward (so you’ll leave with some actionable ideas), and we’ll build a watch list together of your stocks and read the charts together.
I have a lot of good stuff planned, plus you’ll see the new version 12 of TC2000. I’m excited about being there and giving you some insights for better trading. Make plans to be there by pre-registering or just show up (it’s free) – but get there early for a good seat!
Trade Like a Bandit!
Jeff White
Producer of The Bandit Broadcast
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