The markets look to be in consolidation mode this week, as the bulls and the bears exchange blows. The markets also appear to be building a pretty decent base here, as volume and range continue to stay steady. We are starting to see the effects of earnings results on these markets intra-day, but haven't seen any real directional impact on overall sentiment.
Continue to look for market closes above highs or below lows – without these, we are probably destined to be range-bound for a while.
If the markets continue to base, we will need to identify a tighter range. This could be a great help with trade confirmation and identifying breakout or breakdown opportunities. Make sure to always follow your plan, and double check for earnings dates over the next week or two.
Have a good night,
Maverick Trading
Over the years, we have spent thousands of hours talking with our traders and answering their emails. We have a huge collection of really great information that only benefited the specific traders who we were interacting with. So, we decided to start sharing all of these gems of knowledge with everyone.
