Candlestick Training: Three Black Crows

THE WEEK

Last week I pointed out candlestick pattern -THREE BLACK CROWS – and said it usually foretold a downturn especially if it crossed the support line.

                                                               THREE BLACK CROWS

LOOKING AHEAD

We have some impactful economic announcements coming at us next week including the FOMC announcement and press conference on Wednesday.   Those announcements combined with the long list of companies announcing their 3 quarter earnings will make for a pretty chaotic trading week.  This past week I saw a reaction to earnings announcements re-emerge.  It is similar to what happen with COVID and the start of the inflationary cycle.  A Company would have good earnings exceeding the analyst’s predications and the conferences were positive, but traders would sell off.  Normally, you could expect lots of buying in this situation.  I believe the cause for these selloffs is fear.  Things in the world are pretty messed up right now.  

There are conflicts centered in the Middle East and on the home front with our congress scabbling.  We finally have a new Speaker of the House.  All this background noise is showing up in the Price/Action of the Market.

HOW AM I DOING?

It was an OK week but nothing to brag about.  I am also subject to trading fears and uncertainty so any trades I am placing are in my mind sure bets.  Not taking any risky trades on.  I had a 1.43% gain for the week while the Market lost -2.53%.  I am OK with that.

No Thursday Webinar or Deep Dive this week.  The Investing Buddies annual live summit starts on Wednesday.  The summit will be recorded and professionally edited. Lots of great speakers and some new trade ideas will be presented.