Technical Analysis Video Stock Market Review 9/5/07

Yesterday I mentioned that the job of a trader is to manage risk and that regardless of what the market may do on any given day, you have to “maintain discipline”. Is the inverted H&S pattern now to be considered broken? What happened to the fantastic bullish projections of that pattern? Markets change and that is why your first job is to manage risk. Amateurs look to a pattern and expect it will unfold just like all the great text book examples; the market loves to make a mockery of textbook examples. The pattern may still unfold with its bullish projections but support levels mentioned in the video will have to hold before we can see continued upside. Discipline comes before opinion.