What You Need to Know

Hey…it’s Jay, welcome to my new daily email newsletter. Let me know if this is helpful for you!

Here’s what you need to know about the markets today.

There are no economic events scheduled. Markets are higher premarket, after the worst week since April. Investors could be feeling more optimistic with the news of Biden withdrawing his nomination.

Trade of the Day: 2 Ways

My top watch premarket is NVDA. (TSLA also very much worth watching with earnings on Tuesday.) NVDA news is bullish this morning and has moved above the psychological level of 120 in premarket.

For Calls:

To buy Calls we will want to see price hold above 120 after market open.

Resistance levels:

• 120.70 (premarket high)

• 121.00 (prior hourly support could become resistance)

• 121.35-121.85 (weakness from hourly chart)

For Puts:

To buy Puts we will want to see price meet strong resistance and eventually move below VWAP.

Support levels:

• 120.50 (hourly chart)

• VWAP (currently at 120.26)

• 119.11 (premarket low)

Profit Pointers

Every email I try to impart one market insight that will help you develop into a better trader. Here is today’s golden nugget…

Never have bias.

It is easy to start the trading day being biased on direction. I always look at both sides of a trade, and am prepared to enter in either direction.

Once you enter a position, there is a human tendency to be biased that you are right. It’s called “confirmation bias”, and it blows up accounts daily.

Always follow what the charts are telling you. Work hard to avoid bias and your trading account will thank you for it.