BY: Todd Horwitz, Host & Senior Contributing Analyst
PUBLISHED: July 1, 2015
Bubba comments about the price action on Monday and shows his students how to look at the price patterns. He comments on the price action in Crude Oil and how it is in a very large congestion pattern. Oil is up almost 50% since the rock bottom in March but you still hear commentators talk about the downdraft in Crude. That happened last year and you must trade the market you are in not the market you want.
Bubba comments on the Euro currency and its impact on the market. The Euro opened on a huge gap to the downside and then reversed closing on the high of the day. He notes how you trade gap markets. If you are in the right direction on the gap take off some of your position if you are backwards the worst thing is to take your loss, you must let the market trade.
Bubba comments on the rise of the Vix he shows a chart that reflects the price action, he believes that a one day spike is not significant and that you need to realize that any time fear hits the market there will be short covering. That is not a trend and you must look at the longer trend. A one day breakout has no basis for a long term trader. If anything it should be a selling opportunity.