7 September, 2021 (8:47 am IST)
6 September, 2021 (11:17 pm EDT)
The good news for world stock markets is, US. stock markets will open on Tuesday for the first time this week. This means volumes will go up and hungry traders will lap up stocks.
US stock futures are already trading positive, showing enthusiasm in traders.
Looking back at the trading pattern of Dow Jones in the last week, this mega index traded as if walking a tightrope over Niagara Falls.
It went up, it went down but closed at the same level where it opened for the day. To find out its support and resistance levels, day traders can draw horizontal lines from the last week’s top levels and lowest levels, and expect Dow Jones to trade within that range initially.
If Dow Jones breaks out of that range on the upper side, we can expect it to get out of its range and trade positively. If Dow Jones touches the lower support line and bounces back, we can expect this trend-setting index to trade range bound but upward.
Right now, in Asia, major stock markets are trading in a mixed pattern with high volatility.
SGX Nifty is flat, as we had expected after rallying straight up.
How To Day Trade Today:
- Day traders can repeat instructions from the previous session for day trading.
- World stock markets are trading mixed, so different markets will show different trends.
- Day traders should follow the local trend.
- Check pivot points, check horizontal support and resistance levels.
- Find a support level if you wish to buy.
- If you wish to sell, do this near a resistance level.
- The overall trend is highly positive in world stock markets, so we will not advise traders to sell from any level.
- If markets are dipping, for price to reach some support level and start taking long positions from there.
World stock markets will be back to their full strength on Tuesday as US stock markets will open after the Labor Day holiday.
It will bring an increase in volumes and volatility. In short, the good news is that day trading will be easy. Still, traders should stay alert about any sudden dip in markets. This week is starting with a slow trading pattern and volatility levels can be high in such trading patterns.