Market On Close, Wednesday 15 January

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So, So Back! (*)

by Alex King, CEO, Cestrian Capital Research, Inc

(*) tomorrow it could once again All Be Over

Well, CPI proved to be socially acceptable; an only-up day for the most part, without even the usual let's-take-out-the-stop-orders-placed-at-too-obvious-levels swing up and down right after the print. Quite a few gaps up in regular trading hours today; those gaps may yet be filled.

It could be that equities continue only-up but I think that volatility is here to stay.

Profiting from this is a different skillset to 2023-4. The skillset you needed in 2023-4 was, persuade yourself to hold. That was it. If you did that in the indices and/or the big name stocks, you did great. If you managed to short the selloffs along the way as well, kudos to you. And if on top of that you did a little successful swing trading here and there, you were golden. The whole time though, you had an upward sloping trendline at your back. Nice.

I think the skillset one needs to benefit from a more volatile market is to (i) learn to simplify your holdings into fewer positions to manage (ii) learn to make money both sides ie. if the market is mooning or dumping you care not as long as your money is pointing the right way and (iii) learn to calmly recognize when you have been wrong, and have the plan to reverse out of wrong and then actually do it before then calmly pocketing the gains in each case.

One of the services we host excels in this discipline. Trading With Van is an incredibly simple service to use. Van trades the Nasdaq and the S&P500 for a living. Just the Nasdaq and the S&P. Nothing else, no distractions, nothing. He posts his trades and explains their logic along the way. He trades long and short all week long and does very well indeed. If you'd like to learn how to make money in choppy markets then I suggest you take a look. You can use the service for futures, simple and/or leveraged ETFs, your choice. Just click here.

Short- And Medium-Term Market Analysis

Now to our work for today. Charts. Lot of em. Any paid subscription here gets you access. You can read about and choose from all our subscription services, here.