This is one of the most important topics I can share with you, and it comes up every single time the market looks like this: consolidation, noise, and the overwhelming urge to do something.
Let's look at the QQQ chart. It's the 12-hour IADSS chart set to extended trading hours, and the picture is clear — double top at $640, support at $585 coinciding with the 200 moving average. This market can go either way. Everything is going to chop until QQQ asserts itself.
What might get it moving again? Interest rate cuts would be an incredible tailwind. I'd look for a breakout above the double top, maybe a quick retest of support, and then we're off to the races. But we're not there yet.
So what do I do during times like this? And more importantly — what should you avoid doing?
Here's exactly how I'm approaching this market right now.
I look at my current holdings and make adjustments when they set up favorably. I'm not hunting for new trades — I'm optimizing the ones I already have.
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Take Google for example. I entered a new modified synthetic long as my first position. Am I loading the boat? Absolutely not. It's an initial trade. If we get back to the 200 moving average or somewhere in that zone, I'll add another one. I'll also roll my call lower to give myself a more optimal entry point. If I do, I'll share it with all of you.
The other day I saw a setup on Bitcoin — a nice double bottom on the 4-hour IADSS chart with a -2 mean reversion. I bought a deep in-the-money LEAP with 50/50 intrinsic-extrinsic value. Do I think it's the exact bottom? No. But it's very favorable after a 55% retracement, and I like the entry.
My next step on both trades? Watch the charts. And if I need to, I'll adjust — roll my call lower or further out in time. That is what I do during uncertain times.
Here's the lesson I really want you to take away from this:
The most important skill you can develop is knowing when to do nothing at all.
Because any trade you place right now that turns into a loser is one more trade you have to dig yourself out of later. You work so hard to make your money. My job is to help teach you how to keep it — and how to allocate it at the most strategic moments, not just any moment.
The opportunities will come. They always do. But forcing trades in a choppy, directionless market? That's how you give back everything you've earned.
Be patient. The market will tell you when it's time.