SPY Bulls to The Rescue?
On a significant gap down I usually look at these situations as a last chance for bulls to exit if they didn't set a stop loss the previous day.
With the bull lifeboat coming back to rescue trapped bulls, only so many can fit on the boat unless there are bullish developments that can completely negate the move. With the onset of a war that is just starting, it would be difficult to assume bulls can close the gap and hold above it.
Still keep an open mind to all possibilities as things can change very rapidly in this volatile situation.
With the bull lifeboat coming back to rescue trapped bulls, only so many can fit on the boat unless there are bullish developments that can completely negate the move. With the onset of a war that is just starting, it would be difficult to assume bulls can close the gap and hold above it.
Still keep an open mind to all possibilities as things can change very rapidly in this volatile situation.
My goal is to find the best risk:reward setups. For instance, if you risk $1,000 at a chance to make $5,000, you can afford to be wrong 4 out of 5 times and still not lose money. I hit my targets over 50% of the time.
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