Are you ready?
You’d better be!
Before I go any further I’ve got to ask you…Do you have a daily routine that helps you get your mind straight for trading?
You might not think that this is important, but trust me…IT IS.
Some traders meditate before the trading starts, others listen to their favorite music, and others might exercise.
Heck, even just visualising how you plan to execute on what the market gives you is great.
Bottom line: If you can learn to manage your emotions and follow a plan in this business, you’re going to do OK.
I bring this up because this week has the potential to be HAIRY.
Next week’s trading is going to be dominated by 2 very important economic reports that could dictate whether the Fed continues on its mission to crush the same bubble it created.
I am talking about the ISM Manufacturing (also known as PMI) and the Jobs (also known as the unemployment rate) reports.
Did you know that there are 3 types of economic indicators?
- Leading Indicators
- Lagging Indicators
- Coincident Indicators
As their names suggest…
- Leading indicators provide clues about the future.
- Lagging indicators help to confirm economic patterns that are already happening.
- Coincident indicators help to clarify what is currently happening.
Well, these two reports I just mentioned fit into the leading indicators category…
And that’s why the market is going to be paying particularly close attention.
You can see from this chart that the ISM Index, which measures economic health through supplier deliveries, imports, exports, production, inventories, new orders, order backlogs, prices, and employment, has continued to fall in recent months, with no signs of stopping.
In addition, this next chart shows that, after a long trend of declining unemployment numbers in the U.S., unemployment is no longer declining.
Look, these two items are just a small part of the puzzle that lead economists to determine if the U.S. economy is in a recession or not.
This puzzle is complex, and it takes years of practice to learn how to trade around it.
Raging Bull’s gurus have been trading these numbers and educating folks how to do the same FOR YEARS!
Ask any one of our gurus how they plan on trading next week, and they’ll all tell you that they are going to be relying on more sophisticated methods than just RSI and VWAP to help them.
But there’s no one right way to trade during such an important week.
That’s why Raging Bull’s 360 Wall Street is such an invaluable resource!
Raging Bull has put its most seasoned veteran gurus in one place to share their market insights and ideas.
Each trading day these MASTERS are popping in to share their views on the market, as well as their best ideas.
The importance of having this kind of diversity in ideas and market insights during a week that is as important as next week can’t be understated!
Do yourself the best favor possible and take a few seconds to simply sign up, at no cost to you!
To YOUR Success!
Image and article originally from ragingbull.com. Read the original article here.