After a strong rally ahead of Nvidia (NVDA) earnings, the Joseph James warns that post-news sessions are often filled with traps. With buyers in control on higher time frames, he outlines multiple high-probability setups for Thursday, including V-bottom traps, retest bear traps, two-legged pullbacks, and range breakouts on the Nasdaq and S&P.
He emphasizes that big pre-earnings moves often lead to false breakouts and stop-hunts the next day, especially as end-of-month volatility increases. Traders should expect deeper pullbacks, retests of highs, and sharp reversals before continuation higher. The key is avoiding emotional chasing and instead entering at trap levels where stops are likely to fuel the next move.
With light economic data but potential volatility from month-end flows and geopolitical headlines, the focus remains on disciplined execution and capitalizing on trap-driven reversals rather than reacting to headlines.
Video Length: 00:22:12
Comments
Log in or sign up to join the conversation.