NOTE: As we deal with uncertainty and volatility in crypto, this is an ideal time to share some examples from other markets that can show you just how challenging successful trading can be.
If you’re new to trading you might not be familiar with quarterly earnings announcements — it’s another way THEY can manipulate price to make even more money off of weaker traders and investors. Earnings are announced before or after market hours and usually create a lot of volatility (EXAMPLE: Netflix just jumped 20+ points in a single day on their earnings and it’s price is already sky high).
So if you’re currently invested in TWTR — anything can happen tomorrow so today is a good time to make sure you have a clear trading plan so you can trade with confidence
If you check our prior post on soybeans (chart again at bottom here) we shared it as a “bullish momentum” trade that appeared to be well on it’s way to new highs in BULLISH WAVE 3. Guess THEY saw our post because in the short time since we posted it price
GAPPED DOWN 10-20 POINTS one day right at the open — jumping traders stop losses which then got taken out right at the lows — then price recovered a little bit during normal trading hours.
GAPPED PRICE UP 10-20 POINTS the next day destroying anyone who went short on what appeared to be a Wave 3 pattern failure…
ERASED THE ENTIRE 10-25 POINT GAP during trading hours putting price back to near the $1000 level where it once again was higher probability Wave 3 Pattern Failure — current trading is now below $1000 but Soybeans is in “no man’s land” where it’s nearly impossible to know it’s next move.
KEY TAKEAWAY — THEY can take price wherever they want — at ANY time.
KEY TAKEAWAY 2– Soybeans are no riskier than crypto — TRADE SAFE and stay in the game!