Today is Monday May 24th and the market is selling off big time in the night trading after a down day on the street.

Currently the S&P futures are off 18.50 points, 1.73% at 10:35 in the evening West Coast time Monday. After trying to make a go of it, the market went south near the end of the day to close down for the session. Right now the S&P futures are one tick off the low set a couple of weeks ago 1051.50. We are in dangerous waters, let me tell you. Hopefully investors have battened down the hatches. This market could bounce up off this low and buy a little time, but you have to leave the door open for a complete blow out through this previous low.

A couple of days ago, I heard of a poll taken on CNBC that over 50 % of the viewers said that the market was a good buy in this territory. That is scary, because if you know anything about the masses, they are usually wrong and betting against the public is usually a winner. Don’t be apart of the public yourself, or you could get fleeced. Just be careful. Investors with long term money, you are swimming with sharks right now and they smell blood.

I read a few things over the weekend and the situation in Europe does not look good. My hope is people will have a little more time before the hammer drops and it will, it may be tomorrow or after this possible bounce up, but it is coming.

If you see storm clouds coming and they are big and very dark, you don’t have to be a genius to know that it is going to rain and if you don’t have something to protect you from the elements, you are going to get wet. That is what is coming. I hope its not right now, but there is nothing any of us can do to stop it. The only thing you can do is prepare to profit from it or step aside and keep your assets safe until you are ready to exploit price advantages. You have to be in control to pull this off. Do not let your action be controlled by your fears and or any other emotion. When it is your time, see yourself following through with the trade and managing your stops. Taking a defensive approach is really alright most of the time, until and unless you safely have the advantage for the big moves.

Those  moves are here and more is coming, so be prepared to move on what you know. If you don’t know and or feel the setup, don’t do it. Wait. That is a hard thing to do for many traders but it is in your best interest to only trade what you know. Don’t take a trade because you feel the market is going to leave you behind. That is trading out of fear.

You are trading out of a different kind of fear. There is fear of loss, but there is a fear of lost trading opportunity that can be just as bad as the first. Many traders are not aware of this one, but let me tell you, it is just as dangerous as the first one. By entering late, you have to widen your stop many times to allow for your aggressive entry and as the market loves to do, pull back to get your stops and leave without you, which creates only more emotions but of a different sort.

Traders can not afford to be controlled by emotions and it does not matter which ones they are. You need to follow a plan that can take you to where you want to go safely. If its not safe, wait until something comes along.

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OK, enough preaching.  In today’s trading I only took one little trade for .75 points and had to go. I got a call to help a friend and left for the rest of the day. It’s not a problem and I don’t feel like I missed much. Helping others rates pretty high, even when it compares to money. Money can had, but saying no to a friend can not be replaced. It sounds like I am still preaching, O Well, what can I say.

I have a video of today’s action in one chart from my T-2 Trending Screen. I have a couple of indicators on the video, only one at first and then the second one later in the video. I marked up the screen with virtually all of the signals it generated today to show you even if you virtually took all of the signals it gave with no discretion, you would have done very well. That is an understatement, because you will see a lot of trades for a ton of S&P points. Grant it, you only need one or two of those small trades and not even the big ones to make a great day. Using good money management that is apart of Sniper Day Trading, you will be keeping your losses very small, scaling out of your trades and covering your position at all times to make a consistent daily profit.

As I mention in the video, I get the trades from a completely different way than what you see on the screen, but it comes out to be in the exact same area on most all the trades. The indicators can help you see what you can not yet see with your eyes, but will be working towards. Being able to trade without any indicators at all and get the same or better results. That is what I teach and what I encourage my students to learn. The price always comes first and the indicators are a reflection of the price. Not all indicators are the same as you can see on the screen and this is only a portion of what I use. Together it makes it a complete package to easily follow, getting your timing down and not getting ahead of the market.

If you are going long or short at the right moment and you can do it again and again with a high degree of confidence, isn’t that what trading is all about. Then returning tomorrow and doing it again. I think it is OK to rely on the indicators in the beginning, as long as you know what you are supposed to be seeing with your eyes as things develop.

That’s it for now,  good trading to all.