Hubert Senters here.
Let’s take a look at the brought of the markets. I’m going to be looking at the Nasdaq. I will be using a bunch of different indicators for a couple of different reasons. It tells me the strength of the pullback and who’s in control buyers versus sellers.
And I’m going to compare that to a trade that I walked you through last week which was Zoom which is slightly different.
So anytime I’m looking at Zoom I’m also looking at the Nasdaq to see what the broad market is doing. So I can see here I’ve had a sell signal up here so the Nasdaq pulled back into support at the cloud.
I had a parabolic buy signal today. But three green down here is still less than the red which means the sellers at this point ae still in control. What that tells me is the bounce could potentially be on the weak side if we don’t get a follow-up with a green bar in the volume.
The buyers versus the sellers. Now, if we can compare and contrast that to trade that we were talking about last week Zoom basically all green. I mean a little bit of sell on here. A little bit of sell on there. Sellers ae control for five days and then buyers came back in.
So it’s all been buying for Zoom and not a ton of selling and you compare that to the Nasdaq, Nasdaq we’ve had some selling. The bears are still in control but now we’re trying to bounce again. So when you’re looking at a component like Zoom that trades on the Nasdaq exchange.
I was going to look at the underline overall market too because the Nasdaq sells off like crazy it can potentially affect the Zoom since it’s one of the stocks that trades on the Nasdaq. Now, you can always have outwires, you can always go up when the entire markets are going down.
It’s hard to do forever like you can tread water for so long and then if everybody in the pull grabs hold you, you can be able to tread water that long. So pay attention to the underline it’s pretty important. And what the individual equity is doing itself.
Good luck. Hope it helps. See you on the next video.
Hubert.
