The weekend was not kind to the market as the market plunges this Monday morning off already developing bearish patterns. The meltdown is attributed to fears of another lockdown and close of the economy, along with some funny business going on in the financials sector.
While we prefer a bullish continuation pattern, the meltdown has not hurt us because we were prepared. In the current Covid market environment, traders must plan for any event. We were able to take profits this morning, which mitigates any losses from current positions (which are actually holding up well despite the market meltdown).
In todays’ video, we discuss our trade management plan and what we did to help protect ourselves. I discuss:
- Profit taking in ZOOM
- Profit taking in our bearish Silver play
- The bearish index patterns
- Our Covid relative strength list
- Our Covid sensitive list of beaten down stocks
— Paul J. Singh (@PaulJSingh) September 21, 2020