In this week’s Swing Trading Blueprint, Sami shows why the QQQ is hitting resistance, though there is a case for a move to $170. See where the market can go next, based on the weekly trend. For now, trying to predict the top is for novices. The smart move is to wait for acceleration or the next sell setup, rather than get locked into an opinion. After getting Sami’s market take, get Sami’s watchlist, and understand why it may not be time to rush into new longs.
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We are just about 1 week into earnings and have 2 weeks of market moving news so early trends are starting to develop. Also, the huge bounce since December is flipping the script and now highlighting relative weakness.
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Not all set ups into earnings are created equal. NFLX has already had a huge run this year so let’s talk through what is expected and what type of move is left after the report.
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Today’s video is about scalping off the Level II screen. There is a tremendous amount of misinformation when it comes to level II trading. However, it can give you unique insights into a stock’s price action. Yes, there is a lot of deception happening, and you can’t use Level II to analyze every stock. But if you know what to look for, you can make big bucks trading order flow.
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A choppy few day consolidation may not be providing the crazy action we have seen recently. But it is creating better setups for options into earnings reports. Smaller ranges and lower VIX = IV crush and cheaper options overall.
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In Sami’s opinion, you can’t succeed unless you understand this simple, but fundamental concept. Stocks can correct in 1 of 2 ways: through time, or price Correcting through time is usually preferable because it’s an indicator of strength (or weakness if it’s a bearish stock basing a the low of the day). But here’s the real thing to watch: when this pattern happens to form on a bearish gap down with a base just under a declining 20ma, look out below! Get this weapon, and add it to your arsenal now:
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Sami starts this week’s swing trading blueprint by giving a quick lesson in relative strength using QQQ. See what told Sami not to get short, and see what his line in the sand is for judging the trend. Then, get a look at Sami’s swing trading ideas for this week, including CFRX, DRYS, HCLP, and SGH. d
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Sami Abusaad | Strategic Day TraderStock prices can only correct through price (by pulling back) or through time (by going sideways). In this highly educational video, we are going to discuss price correction. Sami will share with you his second favorite pattern of all time, what it means, how to play it, and why it is so powerful. P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource: The Ultimate Guide to Trading Earnings Season
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It’s deja vu all over again. I highlighted the multiple similarities between FDX and STZ as each approached earnings and STZ’s ugly move today cemented the comparison. It’s time to think less about up or down for the stock and focus more on what the options are saying.
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Sami Abusaad | Strategic Day Trader”The market speaks loudest in failure patterns” is as true a saying as it gets on Wall Street. The Shakeout Bar is the ultimate failure pattern as a stock tries to break out from a bearish base, only to get slammed. It signals that traders got caught. It also gives us a solid entry (under the bar’s low) and a secure stop (above the bar’s high). Then, click right here to learn about Sami’s all-new Earnings Engine class. Click to Join Earnings Engine ==>
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