On Tuesday afternoon, Alphabet (GOOGL) and Microsoft (MSFT) reported their latest earnings figures.
While the market was looking forward to these reports and bidding stocks higher over the past few days, the numbers weren’t as strong as analysts had hoped for.
As a result, both stocks are down by over 5% today and weighing on the large-cap indexes like the S&P 500 (ES) and Nasdaq 100 (NQ).
But the Russell 2000 (RTY), which is made up of small-cap stocks, is still on the rise and approaching our limit…
Russell Pulls Ahead
Here’s how the hourly chart is shaping up…
The RTY one hour time frame is in an up channel. The market hit the bottom of the channel and is now pushing bullish towards the top of the channel.
Entry: Counter trend line break bullish above the bottom of the channel.
As long as the market stays above the bottom of the channel, it will be a good idea to turn to the five minute time frame and to look for Tunnel Trader long / Destination Trader long or Chandelier Trader long ideas towards the one hour price target.
The Bottom Line
With inflation on a fast-track, you need to know how to amplify your gains.
To see how I do it, check out the link in the P.S. below…
For more on the markets as well as trading education and trading ideas like this one, look for the next edition of Josh’s Daily Direction in your email inbox each and every trading day.
I’ll be bringing you more of my stock and futures contract trading tutorials as well as some additional trading ideas.
And if you know someone who’d love to make this a part of their daily trading routine, send them over to joshsdailydirection.com to get signed up!
Keep on trading,
P.S. Countless everyday Americans are earning anywhere from an extra few hundred bucks a week…