Tech Stocks Bounced Back: How I Traded This Market

Dear Traders,

Last Friday was an absolute blood bath for stocks, crypto and precious metals including Gold and Silver. But today, QQQ almost completely recovered Friday’s selloff as tech giants including GOOGL and a few semiconductor names such as AMD and INTC were leading the bounce back.

We are trading in a highly volatile market driven by uncertainty and fearful headlines. This could be challenging for investors to reposition their holdings, however for day traders, this is the time to prepare for big moves on both long and short sides!

I traded in Dubai this morning! It was a beautiful opening range breakout long on AMD, a clean uptrend that gave me a great 4.5R risk-reward.

Trade the price action, not your bias. It is so important to focus on proven setups and intraday trends if you want to make a living trading stocks. Most beginners would have been scared to go long today thinking that the markets were crashing.

Sell-offs last week don’t necessary have to lead to another bearish day. I was watching NVDA and AMD this morning at the open because I noticed a nice recovery during the premarket across the semiconductor stocks.

AMD was pushing back to previous day’s close, and as soon as the opening range breakout setup showed up, with strong buying volume and lots of upside liquidity observed on Market Atlas, I didn’t hesitate to enter with my setup.

If I was wrong, I just had to follow my stop loss for this strategy, which was if price went back below VWAP. The opening range breakout had a really nice follow-through and eventually turned into an ABCD pattern setup for me to add more to this winning trade.

This trade turned out to be a 4.5R trade (risked $2 per share for a $9  move). 

You can watch me trade live and explain my complete thought process and strategy in real-time every morning Monday to Friday. If you value transparency and want to learn from a community of real traders, you can use our 7-day Intro membership to experience the our live trading community first. Then decide if this is the right fit for you to stay.

A reminder for all new members who joined us at the start of the year: Don’t forget to join Carlos today at 8PM EST on the community onboarding live webinar. This is a great live session to ask Carlos questions as well as learning all the resources and education materials available for you at Bear Bull Traders.

“Most aspiring traders struggle with complexification, information overload and decision fatigue. With Atlas, you’ve given the BBT community the gift of Simplification. ”

Last week, I received a genuine feedback from Dr. Kenneth Reid, a PHD psychologist who has been providing 1 on 1 consultation for BBT traders over the years.

Dr Reid shared that he has been swing trading Micron (MU since the earnings call. He does not day trade; he likes to use pullback levels and trendlines for dip buy opportunities to swing overnight.

“I’m a big believer in trading the obvious… so when MU was in the mid-$430’s I put a limit order in at $420 with $418 as my stop loss. MU closed at $451 in after-hours trading.” Dr Reid shared his profitable swing trade with me, which was impressive because I haven’t seen many traders take advantage of this liquidity trading tool for overnight swing trades.

Swing trading can really generate a big profit if you have the patience and skills to find a great entry. I hope this trade example from Dr Reid inspires you to explore swing trading with the help of Market Atlas as your confirmation tool.

I also recorded a trader podcast with a huge podcast channel, Titans Of Tomorrow. This channel has gained its credibility in interviewing the most successful traders and entrepreneurs. I’m excited to share the podcast with all of you when it’s released.

I’m on a flight back to Canada. Looking forward to seeing you in our live trading chatroom tomorrow.

Andrew