The free-preview video from the WLGC session on 13 August 2024 provides valuable insights into the market’s current situation. The video discusses the impact of increasing volatility on the likelihood of a market bottom, highlights a simple way to judge the quality of the relief rally, and identifies the key characteristics of the recent selloff that will determine the future direction. Additionally, viewers will learn about the key level to violate the bearish flag scenario and much more.
As the relief rally continues, some stocks are showing outperformance with a decent setup. However, factors such as elevated volatility, a supply increase, and acceleration to the downside suggest that a test of the low formed by the capitulation bar on 1 August 2024 may still be on the horizon. The downside target discussed in the video from last week remains valid, and caution is advised as the S&P 500 tests the breakdown bar from 2 August 2024. Market participants should be on the lookout for the emergence of supply at the current zone.
The market environment is currently showing a balance between bullish and bearish setups, with a ratio of 229 to 227 as seen from a stock screener screenshot. During the live session before the market open, 11 actionable setups including AEM, CNK, and SFM were discussed. Despite potential opportunities, the elevated volatility may not be favorable for swing trading. Traders are advised to reduce position sizes and use conservative trade management to protect capital.
Three stocks – AEM, CNK, and SFM – are identified as having potential for significant upside. These stocks have been highlighted as actionable setups during the live session and are worth monitoring for potential trading opportunities. However, given the current market conditions, caution and prudent risk management strategies are recommended to navigate the volatility and uncertainty in the market.
In conclusion, the free-preview video from the WLGC session offers valuable insights into the current market dynamics and provides traders with actionable information to make informed decisions. By understanding the impact of volatility, identifying key levels, and employing conservative trade management strategies, traders can navigate the market effectively and capitalize on potential opportunities. Stay informed, stay cautious, and stay prepared for the ever-changing market environment.
