S&P Market Analysis & Key Levels 10/29/17

Weekly Key Levels

The S&P is still strong. Today’s market analysis points to some key levels to watch, but a train keeps going until it doesn’t. Basically, this is a good time to proceed with caution, but we do not place a trade until we get our edge. A trading edge is very important. We develop our analysis or trading roadmap, so that we can ascertain our reward to risk when it shows up.

Adam Smith said, “On the road from the City of Skepticism, I had to pass through the Valley of Ambiguity.” Trading is much like this. Nobody knows what is going to happen, but so many people take analysts prognostications as gospel. As traders we should naturally be skeptical, because we are risk managers after all. We weigh risk everyday in order to make money. A great analogy is the game of Clue. Trading is much like this game, where we make an educated guess after gaining enough facts. Wait too long and someone else guessed correctly first, and go too fast and you are likely to guess wrong.

We need to focus on what we can control. A good poker player gets his/her edge and places a bet. That is our strategy with the markets.

The key levels outlined in the above video give us very good targets. The market, albeit still strong, is getting tight. A tight market does one of two things. Moves up or down very quickly or goes sideways for a bit and turns around.

Leo Tolstoy’s philosophies have been discussed for centuries upon centuries, because they are highly insightful. Trading is all about achieving greatness and being able to increase the quality of your life, so if you are striving for success in your trading and are unable to obtain it then give us a call for a free consultation.

If you enjoyed this analysis we have a trading course that goes over analysis and how to spot trade setups off of that check out our Trading edge course.

Entreprenuer, Trader and Philanthropist

Matt Dye, Founder of ABusinessWithTrading, is a professional trader who specializes in trading price action. His mission is to empower traders through education, and every month attracts readers across 50+ countries. To discover more about Matt’s Price Action Strategies, visit his Trading Courses page.