Hey Market Pilot,
I was on the mic in my Moxie Indicator™ Mastery room, and as I was going through the various sectors of the market, I made the comment that trading is a bit like detective work. I felt this way because I was investigating several different components of the market to uncover the next direction and the next move to play.
One of the market components in this case was the Ultra VIX Short Term Futures ETF (UVXY, pictured below). This exchange traded fund (ETF) is 3x leveraged volatility and it can help clue us into the build up of a market move. I noticed that the UVXY was in the process of double topping and that the move up into the double top was a bit shaky. Even the hourly Moxie Indicator™ wasn’t looking strong.
Typically, on a good strong move the Moxie Indicator™ will stair-step up in a solid green fashion, like what you see on the left side. But this move was jerky, with red and green mixed in. So with that lack of strength and the double top, I decided to short the UVXY and get bullish on the market.
So far so good, but the real question will be how long will it last?
Your Profit Pilot, TG