This post was originally written for r/RealDayTrading Jan 14, 2022

One of the things that I can’t teach traders is patience. It is critically important to wait for your windows of opportunity to set up. If you do this you will increase your win rate and a handful of trades are all you need.

Let’s say you are “gnawing at the bit” to buy a stock with relative strength. “OMG, look at that baby run, I gotta get me some of that!”

  1. Take a deep breath and look around. What is the market doing?
  2. There is no trade that warrants chasing.
  3. Don’t buy stocks with relative strength if the market is going down. You should be looking for shorts, not longs.
  4. Hold off on that stock purchase until you get confirmation that the market is going higher. If the market has been in rally mode, wait for a dip and support (3/8 cross). If the market has been down, wait for signs of support.

You can use price analysis (candles, trendlines…) or any indicator that you find to be reliable for the S&P 500. I use 1OP because of its predictive nature. Know that the market goes through cycles each day and your job is to time them.

I recorded this video today. I believe it will help you to improve your timing and consequently your win rate.

Please don’t ask me how 1OP is calculated or the inputs it uses – I won’t respond.

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