Uncategorized

Following our trading guidelines, we’ll walk through two recent trades from the Compounding Growth Mastery, our closed UNG trade and a trade we opened in the S&P 500 (SPX) Friday morning.

As for the UNG trade, we got long at the daily 21 exponential moving average (EMA). Our profit target was a move up to 2+ average true ranges (ATR). We knew that we wanted to cut the trade loose once UNG traded below the daily 21 EMA. These are the types of factors we must take into consideration BEFORE entering any setup.

The reason for taking this trade was we had:

• Support above the daily 21 EMA
• Lower time frame buy signals (Big 3 Indicator)
• Bullish 4-hour squeeze

This is my go-to trade setup.

After the flush Friday morning, the Big 3 Buy signals went away, UNG was hit, and we exited the trade for a loss. Maybe you’ve thought to yourself, “What if it bounces back or what if I’m just getting shaken out?”

This is the discipline we must have as traders. That is why having a trading plan is vital for success. If you’ve felt like you’ve been chasing the market and experiencing FOMO, bookmark this video as we all need reminders daily to stick to the checklist and exit when our rules are broken.

In the video above, we’ll break down the UNG and SPX trades and review what would happen if I hadn’t excited the trade once my rules were broken.

Stay Focused!

This morning we got short the S&P 500 (SPX) with an October monthly expiration 4100 call credit spread. We also took a few small losses on OXY and UNG in the Compounding Growth Mastery this week, which we’ll tie into our topic this week on creating a trading plan.

Trading is much easier when you’re making your business decisions (what stocks to trade, what setup to trade, where to take entries/exits, etc.) outside of market hours. We want to look at things with clarity before the market opens, so we can map things out without the emotion of the market.

For example, I put together my game plan on the SPX trade on Thursday night.

In the video above, we’ll review my pre-flight checklist for taking A+ setups and nothing but A+ setups. We’ll review how to develop a game plan for your trading that you can customize to fit your best setups.

Keep an eye on your inbox on Sunday as we’ll cover recent trades in UNG and SPX, as well as apply the trading plan to other setups.

Want to trade my A+ setups together? Join the Compounding Growth Mastery where I send real-time trade alerts, deliver daily market updates, and host live trading sessions. Start out with a 30-day trial and see what it’s all about!

Stay Focused!

Friday will be the biggest day of the week with Non-Farm Payroll at 8:30 a.m. Central. We also have a long weekend ahead with the market closed on Monday for Labor Day.

The S&P 500 (/ES) reached its bigger picture structure this week near the $3,900 trendline, so we’ll continue to observe that level. We’re looking for a potential pop on Friday into the Job Report. 

See if /ES heads toward $3,955 and rolls back down to $3,930.

 If /ES continues to drop, my next target is $3,900. If /ES holds $3,930 and pops higher, my first target will be $3,955. My second target is $3,978.

Continue to focus on the Nasdaq (/NQ), and see if it leads the way for the market. /NQ could break $12,207 and head toward its above structure at $12,326. If /NQ rejects $12,207, my first  target is $12,087. My second target is $11,978.

With news from Thursday morning causing a volatile day, NVDA is still my main setup. It could bounce back and fill the gap fill above from $143 to $147 or it could head back to $140 and reject back down towards $134.

Trade my top setup in NVDA and get access to even more of my setups live with me in the Simpler Day Trading room this week. 

Stay Focused!

We have a volatile week ahead of us filled with economic reports. The ADP National Employment report will be released on Wednesday at 8:15 a.m. Eastern, the next reports in focus are Initial Jobless Claims on Thursday at 8:30 a.m. Eastern, followed by Nonfarm Payroll on Friday at 8:30 a.m. Eastern.

After ending last week with a drop, the S&P 500 (/ES) is down 1% before Monday’s open, with the Nasdaq (/NQ) also down almost 2%.

/ES dropped to its 50-day simple moving average (SMA) at $4,012. We’re looking for a gap fill above toward $4,056 and a potential rejection leading /ES to my first target at $3,978. My second target is $3,955, and my farthest target is $3,900 at the market’s downside structure.

If /ES rallies and breaks $4,100, pay attention to a potential reversion to the daily 21 exponential moving average (EMA) at $4,136. 

Focused List

NVDA – On Monday, see if NVDA can fill its small gap below from $160 to $157. If it moves lower with the market, my first target is the top of the zone at $155. The second target is $152.

SHOP – With the market going lower, we want to pay attention to SHOP trading at its zone below $31. If SHOP breaks $31, our next target is the earnings low at $29. Pay attention to the downside structure at $33 as SHOP could work its way back towards.

Join me live in the Simpler Day Trading room this week. Tune in to trade these and even more of my setups, as well as look for more potential opportunities in the market.

Stay Focused!

The S&P 500 (/ES) is not matching the bullish criteria: trading under the daily 21 exponential moving average (EMA) with Big 3 sell signals on the 30-min, 15-min, and 5-min charts. We’re seeing the same characteristics with the QQQ below the daily 21 EMA and bearish Big 3 signals.

Taking a look at the sectors, XLK, XLF, SMH also don’t fit the bill.

If the indices and sectors don’t fit the bullish criteria, chances are that many individual stocks also don’t fit the bill.

NVDA flushed on Friday and is printing bearish Big 3 signals on the lower timeframes while trading under the daily 21 EMA and daily 50 simple moving average (SMA). Names like AMZN and GOOGL are showing the same.

Overwhelmingly, based on the structure of the indices, there aren’t many names we’d look to go long right now.

There are a few names, though, that are looking clean, like the energy sector (XLE) for example.

In the video above, we’ll review what conditions we need for stocks to present a buying opportunity. We’ll also define which specific names we’re looking to buy once we’re presented a better entry point.

If you’d like to try Taylor’s Compounding Growth Mastery, we have a 30-day trial available for just $7 here. We hope to see you in the room to receive Taylor’s Big 3 trade alerts, Big 3 scan results and watchlists, and to join in on the weekly live trading sessions.

Stay Focused!

Let’s review the recent trades closed in the Compounding Growth Mastery and define how to keep an account profitable.

Since launching the Big 3 indicator in July, the Mastery account is up 20% with a 5% risk per trade. The key is having a simple checklist and staying disciplined to trade nothing but setups that fit our rules.

We’ll review the setup we’ve been trading consistently to achieve these wins on names like TSLA, XOM, and FCX. We’ll also take a look at the differences between our winning trades and our losses.

Our main goal is to have a strong win rate while keeping our losses smaller than our winners.

As you’re prepping this weekend, focus on nothing but your go-to setup, both bullish and bearish. 

Join Taylor’s Compounding Growth Mastery for weekly trade alerts, watchlists, and live trading sessions! Try a 30-day trial for just $7 here.

Stay Focused!

We have an important catalyst ahead of us with Federal Chairman Jerome Powell speaking at the Jackson Hole event on Friday at 10 a.m. Eastern.

The S&P 500 (/ES) broke its structure below, hit its Point of Control (POC) level at $4,136, chopped, and turned around. 

We want to pay attention to the downside structure around $4,200 that /ES bounced toward. If /ES fails at $4,212 we want to look for a potential rollback to the daily 21 Exponential moving average at $4,156.

If it can’t hold $4,156 my next target is POC below $4,136. If /ES breaks through $4,212, my first target is $4,237. The next target is at $4,273.

The Nasdaq (/NQ) could potentially lead the way on Friday. /NQ ended the Thursday session at top of the zone at $13,150. If it can break $13,150, my first target is POC at $13,271. My second target is at $13,356.

If /NQ breaks down below its daily 21 EMA at $13,066, see if it can hold its downside structure at $13,025. If it doesn’t, it could go lower toward its low of the week at $12,915.

NVDA is still my top setup after they reported a miss in earnings earlier this week. NVDA is sitting at $178, its daily 21 EMA. NVDA could potentially break down toward my first target at $174 and my second target at $170, the 50-day simple moving average (SMA).

GOOGL is next on my focused list, also sitting at its daily 21 EMA at $116. Let’s see if it can rip through $116 and head toward my next target at $119 (POC).

I’ll be live in the Simpler Day Trading room next week. Tune in to trade even more of my setups and look for more potential opportunities in the market.

Stay Focused!

The S&P 500 (/ES) ended last Friday by fading off the 200-day simple and significant downside structure. This week’s market events consist of NVDA earnings on Wednesday, and the TSLA 3 to 1 stock split on Thursday. 

As we head into this week we’re looking for a pullback. If /ES continues lower, we will target our downside structure at $4,165, the 21-daily exponential moving average (EMA). If /ES can stay above $4,212 my next target is our upside structure at $4,247.

Anticipating the market pulling back, also look for some names on our focused list to pull back as well. 

AMZN – My top set up for the week, after breaking downside structure, and ending Friday at $137, my next target is $135, the daily 21 EMA. If it can hold $135 it could pop back toward $139 and fail. If it breaks $135, it could reach its gap down at $132. 

NVDA – Coming into earnings week, NVDA ended Friday’s session hitting downside structure at $177. If it breaks structure, my first target is $174. My next target is $169, the 200-day simple moving average (SMA). It could hit $164, completing the big picture double-top.

Trade my top setup in AMZN and get access to even more of my setups live with me in the Simpler Day Trading room this week. 

Stay Focused!

We’re finally starting to see signs of exhaustion in the market over the last few days. The market has made a big push with uninterrupted upside momentum for the last 4 weeks.

Now that names are trading at 2+ average true ranges (ATR) with Big 3 buy signals turning neutral, the probabilities suggest a flush to the 21 exponential moving average (EMA).

If the S&P 500 finds support after a flush to its 21 EMA, we’ll look for Big 3 buy signals. Seeing Big 3 buy signals on the lower timeframes like the 1-hour, 30-min, and 15-min charts could trigger the next leg to the upside.

If we continue to flush past the 21 EMA, we’ll have to ignore the idea of looking for bullish trades.

If we can hold support and see the “pretty green colors” on the Big 3 indicator, we’ll look for bullish trades for a push toward these recent highs.

In the video above, we’ll review our watchlist including our number one name on our “buy the dip” watchlist. The AAPL monthly chart is bullish so we could see a push toward new all-time highs. It also has a monthly squeeze with bullish trend, structure, and momentum. 

We’ll review names like TSLA, AMZN, XLE, and SMH that would have great buying opportunities on a dip and review our recent trades taken in the Compounding Growth Mastery.

Stay Focused!

We’ve seen a strong market over the last few weeks, which has made for some good trades in the Compounding Growth Mastery. The market is now trading at 2+ average true ranges (ATR) above the daily mean. We are seeing signs of exhaustion, meaning that we are no longer seeing buy signals on the Big 3 indicator.

These lower timeframe buy signals can trigger a push to the 21 exponential moving average (EMA). When the Big 3 indicator transitions from bullish to neutral on the 30-min, 2-hr, and other lower timeframes, there is a growing probability that names will drop back to the 21 EMA. 

Both the Nasdaq (QQQ) and S&P 500 (SPX) are down slightly on Friday, showing signs of exhaustion, and appear ready for a push back to the 21 EMA.

The market hasn’t traded at the daily 21 EMA in about a month. Now that the buy signals have gone away, it’s a sign that the bulls are running out of gas.

The big question now is if we see names in the financial and technology sectors finally pull back to the 21 EMA.

In the video above, we’ll review what we’re looking for in the event we see a pullback to the 21 EMA. 

Stay Focused!