16 November 2020 (8:27 am IST)
15 November 2020 (9:57 pm EST)
US stock markets had another big rally last Friday. US stock futures are continuing that rally today in Asia session. And world stock markets are following these uptrend, defying gravity and rallying relentlessly.
At this time, all major Asian stock markets are trading positive, with major gains. SGX Nifty is 100 pints up. Although Indian stock markets are closed today for Diwali festival, but SGX Nifty’s high numbers indicate that Indian stocks will have a jump start tomorrow.
We were expecting world stock markets, especially US stock markets to see some profit booking. But that did not happen and buyers keep pushing US stocks high and higher.
How To Day Trade:
- Day traders should take advantage of this strong uptrend and take some long positions in markets.
- They can keep it for the week or month and roll over if the trend keeps going up.
- Day traders can use half of their trading capital for day trading with the short term trend and reap double profits.
- If markets open up with a gap, that advantage is lost for day trading, but adds profits for the long term positions.
- So, divide your trading capital between long term positions and short term day trading.
- When the price breaks previous day’s high point on short term time frames (5-minutes, 15 minutes), start your day trading with positive trades.
- Keep gathering profits as long as the trend line goes up.
- Book profits once price breaks the trendline.
- pocket your profits and leave markets for the day otherwise there is always a risk of overtrading and losing your profits.
World stock markets have started the new week with a jump starts. All major indexes are trading positive. We expect this uptrend to continue through the week, unless some negative event stops this uptrend. US stock markets are leading this uptrend and global markets are following their lead.