Prediction Comes True: Dow Drops 500+ Points 1st Full Trading Day
Have you been reading through our posts lately? If not, pause on this article and go back to the last two or three posts. You’ll see for yourself that John Paul clearly predicted there would be a major sell-off early in January 2021. Guess what happened on January 4, 2021 – the first full trading day of the year? The big-sell off he predicted. Wow!
If you haven’t seen the video below, do yourself a favor and give it a watch. Maybe give it a subscribe as well on YouTube so you can get updated when new videos like this are released. You can Google the January 4, 20201 sell-off yourself and see that it is true. All the major media outlets reported on it: Fox, CNN, New York Times, MarketWatch, etc.
Sure, the pundits had many causes for the sell-off. Who knows the true cause or factors. As price action day traders, we are more concerned with HOW we can use such predictions and HOW to find intraday opportunities on our charts. This is the main purpose of the latest video.
In the video, you’ll see John Paul use the price action Trade Scalper trading software to identify opportunities. The Trade Scalper is ideal for this because you can find trades throughout the day. And when a sell-off occurs, it is not immediately apparent because after market open, it could just be a down day. You have to observe recent price drops using a daily chart time frame and know where recent lows are and average price drops of recent times. There is a certain threshold where a price drop becomes substantial, when it becomes a sell-off, and then later possibly, a crash. We tend to think of a sell-off as a more organized selling of assets rather than a fearful dumping, as with a crash.
Therefore, it may be late morning or early afternoon before you think, “Yes, this is a sell-off,” and then get your trading systems primed for short (selling) opportunities. The Trade Scalper is well-suited for this purpose, as it provides opportunities all day long. Yes, some are better than others and that’s why students are taught how to find the best opportunities. Generally, scalping has you going for smaller profit targets with smaller stop losses than other methods. Nevertheless, there is significant hypothetical profit to be had. For instance, trading one contract may have yielded $187.50 for the 15-tick trade, according to John Paul’s video summation.