The Most Dangerous Thing a Trader Can Do Right Now
The market doesn't crash when things get bad. It crashes when traders stop believing what they're seeing. There's a specific moment I watch for. It happens in every major selloff, every time. Traders who have been watching the market slide for days — good traders, experienced traders — start doing something dangerous. They start hoping. "This can't last much longer." "They're going to solve the war." "The Fed will say something Wednesday and it'll bounce." The moment you catch yourself hoping for a green candle instead of reading what's in front of you — that is Mr. Market doing exactly what he does best. Fooling the masses. And when the masses are fooled, the market doesn't bounce. It falls harder. Here's what I mean. I've been watching this selloff carefully. The technicals are clear — we are in a downtrend channel, and until we break that symmetry, the path of