Not every day is a good trading day!

The words of my old mentor, Not everyday is a good trading day, ring in my ears this morning.  If fact, she used to say that there were only about ten days a month good for entering trades.  Personally, I’m not that stringent, but her point still rings true today.  Often as traders, we feel rushed or under pressure to make trades each and every day.  After all, we’re sitting here, and it is the only way we can make money!

You have heard me say may times that often less is more.  Trading for the sake of keeping busy is a dangerous habit many traders fall into, but only find large losses at the end of that path.  Quality over quantity should be our focus.  Today we could easily see a lot of choppy price action as the market waits for the FOMC announcement and the highly anticipated earnings from Apple.  I for one to wait for quality trades and day like today might not be the best day for entry.  Be careful, and make the trades come to you.  There is no need to rush!

On the Calendar

Today is a light day on the Economic Calendar with only the Motor Vehicle Sales numbers.  Although an important number that confirms consumer sentiment it is unlikely to move the market.  Of course, the beginning of the FOMC meeting is noteworthily, but it’s only the announcement on Wednesday that matters.  On the Economic Calendar, we have 257 companies reporting today however only one company receives most of the attention.  Apple earnings are always highly anticipated, and thus a potentially market moving event.

Action Plan

I’m expecting choppy range bound price action today as we wait for the FOMC announcement.  However, with so many companies reporting, I want to stay on my toes and focus price action clues.  Although a big market move is unlikely today, I don’t to rule out possible setups.  There should be no reason to feel rushed this morning.  I as always will be very picky; I don’t need to trade every day to be successful.  Not every day is a good trading day!  Futures are currently suggesting a slightly lower open but as earnings continue to roll out that could easily change.

Trade wisely,

Doug