Dan Passarelli, CEO - Market Taker Mentoring 

The S&P 500 is trading right around $400 a share on the close today. In stock trading, we call big round even numbers like that "par." It's just a stock trader colloquialism. But the real question is, the par level: will it hold?

This has been a quiet week in the market. There are not a lot of financial reports coming out. There are not a lot of earnings this week. And volume today was very low. The market will be watching to see if this par support level holds or if it will break and support becomes resistance. If that happens there might be some more selling stocks that could lead to a lower market.
 

Dan Passarelli, CEO - Market Taker Mentoring 

I've had many traders tell me trading the stock market is tough right now. There's too much market volatility. I don't know how to trade this market. This sucks! But guess what... You can learn from this, option traders!

I was talking to one of our 1-on-1 Option Trader Coaching students today, and I said, if you can even break even in this market, you can dominate once the market gets back to normal. Now is the time to learn.

The best thing I can tell you is, if you're having a tough time trading, lower your size (a lot), pick your spots and learn to trade by watching what happens. Learn from your losers. Learn from your winners. Right now might be the best learning experience in a decade for traders.

One of the best things about trading is it's a life-long learning process. As they say, a trade "works until it doesn't work." Then the market changes, traders have to change with it. Once a trader tells me he or she has learned enough, I know they've lost. Keep at it. Trading can be a rewarding game. And as they say, "the more you learn, the more you earn."

Dan Passarelli, CEO - Market Taker Mentoring

Trading market signals in the stock market is essential to survive and thrive as a trader. All too often traders trade with "gut instinct" that has been scientifically proven not to work. The only way to make it as a trader is to wait until the trading signal triggers a trade entry and then get in.

This can mean support and resistance, trading studies, trading indicators or a host of other criteria. But Dan Passarelli says the key is to pre-cognitively set criteria for entry and to wait for the trade to trigger.

In this video, you'll learn some of Dan's favorite signals and why it's so important to wait for trading market signals.

Dan Passarelli, CEO - Market Taker Mentoring

Correction vs. bear market, which one is it? These stock market terms are technical definitions that have strict definitions but little meaning when it all comes down to it. If anything maybe psychology of the market is affected. But it just defines the state of the market.

What's the difference between a correction and a bear market? It's simply a matter of how far down the market has gone. It doesn't necessarily predict where the market is going. It doesn't predict anything about what the market will do. In each case--correction or bear market--its how far it's fallen from its high. And that's it.

In this video, Dan Passarelli of Market Taker Mentoring explains these definitions, what they mean and what his thoughts on the future of the US stock market are.

Dan Passarelli, CEO - Market Taker Mentoring 

Following a big up day in the US stock market following the Federal Reserve decision to raise the discount rate 50 basis points, stocks fell hard today. They wiped out all of yesterday's gains and then some. They're trading lower than yesterday's low and are sitting at a key support level. If the market breaks this support level it might continue lower.

Support is a technical study on a stock chart that shows a horizontal line at which a stock fell to and bounced back higher off of several times. Typically a support line indicates that's where the buyers have their stock buy orders in and often that built up buying pressure forces the stock higher.

When a support line is crossed, meaning the stock falls below it, there can often be downward momentum to follow.

Dan Passarelli, CEO - Market Taker Mentoring 

Sometimes it's hard to see why a stock might move up or down when looking at the stock fundamentals. But digging into two stocks, I've discovered one financial statements item that is worth taking notice. I looked at The Ford Motor Company stock (F) and Amazon.com stock (AMZN). What we have here is: two stocks, one problem.

Both of these companies are getting into electric vehicles in their own way. Ford is making electric vehicles to sell to consumers. Amazon needs them for their warehouses. So both these behemoth companies found their solution in investing into a company that might be able to help move them toward their goals. The company is Rivian Automotive, stock symbol RIVN.

RIVN has been super volatile lately and has fallen a lot because of interest rates rising. Consequently, both AMZN and F lost money on their stock investment in the company.