August 28, 2022

Friday's comments by Fed Chair Powell, which were taken to mean interest-rate policy would be "higher, for longer," caught market participants by surprise, unleashing a ferocious sell-off as the market quickly discounted the news.

The Nasdaq emphatically took out the 20 ema with a loud outside day, which turned the short-term trend down, as there is now a lower low to go with a lower high.

The big loser was technology. The best performer, while lower, was energy. The average software issue, of the 172 that we track, was off a median of 3.60%, not far from the S&P 500's loss of 3.37%. Ark Innovation (ARKK) lost 6.42%.

The game plan is to take things a day at a time, starting with the Focus List, which is empty.

There is a reason why September is the most treacherous month of the year, historically. While we are not there yet, we are close enough for horseshoes, government work, and hand grenades.

Kevin Marder

Trading Lessons
Introduction to the service (38:00)
Money management and risk management (20:27)
Bread and butter pullback (11:10)
Bread and butter pullback: Pt II (15:09)
Bread and butter pullback: Pt III (31:48)
Bread and butter pullback: Pt IV (30:16)
Bread and butter pullback: Pt V (1:41)
System R
Short-selling (25:53)
Wyckoff spring reversal (2:30) 
5-minute breakup test (8:01)
Screens (21:03)