28 October 2020 (7:54 am IST)
27 October 2020 (10:23 pm EDT)
World stock markets are highly negative in Asia session today, after US stock markets closed negative and US stock futures are still highly negative. Dow Jones closed with a loss of 222 points in the overnight session and its futures are already 160 points lower in the Asia session.
All major Asian stock markets are trading in the red. SGX Nifty is also 30 points down, indicating a lower opening for Indian stock markets.
US stock futures are steadily falling down as the election day comes closer for the US presidential elections 2020. The early voting has started for these elections. Regular voting will be on Tuesday and in Asia time on Wednesday morning (almost this hour) the results will start pouring in. We’ll provide live coverage of how world stock markets react to those results so don’t forget to join us on that day.
Today, world stock markets are seeing a fall because of profit booking by traders, investors afraid of extremely high volatility in stock markets during the early days of the next week.
How To Day Trade:
- World markets are falling due to news events. It is better for day traders to keep their trading to a minimum.
- Trade in fewer lots. Strictly follow the trend and wait for the market to start displaying a clear trend.
- These markets situations are not where you guess how markets will trade and make your own trading decisions (anyway, professional day traders never do this).
- It is a period of more waiting, and less trading.
- The global trend is negative, so don’t look for support and don’t buy in these conditions.
- Wait, wait, and wait until price starts falling from a resistance, or any level.
- Confirm it will continue to fall (breaks the trendline), then enter short positions. Exit only when the price again breaks the trendline.
World stock markets are trading negative following the fall in US stock markets. This negative weekly trend is expected to continue this week and until the early days of the next week when results of the US presidential elections 2020 will be declared. Day traders should trade with the negative trend but stay cautious as markets will be very volatile.