There are good times to trade and there are bad times to trade.
For over 100 years by trial and error speculators have come to the conclusion that if you are intermediate term speculator, it is best to avoid certain market periods. Market timing is not a new concept. It has been around for ages.
Speculators try and avoid volatility in returns. They do not want drawbacks or want to sit through deep corrections. If you are swing trader, the success depends a lot on your ability to time the right market phase.
Currently we are in a bad phase of the market if you are primarily a intermediate term swing trader. The market had a good momentum for 4 to 6 weeks from mid December to January end. For last 8 to 10 weeks it has been having a pullback/correction.
One of the ways to identify a good time to trade is by using market breadth. Market breadth tells you how many stocks are participating in a move. Trading when breadth is overwhelmingly positive is one of the common tactics used by many speculators.
At the beginning of a bull market you get a breadth thrust. That kicks off the buying period. So when we get a breadth thrust, it will indicate possible end of this correction. A breadth thrust of 2:1 to upside is something to look for near market turns.
For over 100 years by trial and error speculators have come to the conclusion that if you are intermediate term speculator, it is best to avoid certain market periods. Market timing is not a new concept. It has been around for ages.
Speculators try and avoid volatility in returns. They do not want drawbacks or want to sit through deep corrections. If you are swing trader, the success depends a lot on your ability to time the right market phase.
Currently we are in a bad phase of the market if you are primarily a intermediate term swing trader. The market had a good momentum for 4 to 6 weeks from mid December to January end. For last 8 to 10 weeks it has been having a pullback/correction.
One of the ways to identify a good time to trade is by using market breadth. Market breadth tells you how many stocks are participating in a move. Trading when breadth is overwhelmingly positive is one of the common tactics used by many speculators.
At the beginning of a bull market you get a breadth thrust. That kicks off the buying period. So when we get a breadth thrust, it will indicate possible end of this correction. A breadth thrust of 2:1 to upside is something to look for near market turns.
