Hey Traders,

I’ve been talking a lot about how bearish this market is — because I’ve seen this movie before.

Because when markets start slipping, traders tend to develop a dangerous habit.

First, they get fearful. Then they get hopeful.

They’ll see any little bounce — even just a 1-day pop — and suddenly think, “That’s it! The bottom is in!”

Case in point — March 13th “seemed” to be the bottom that a lot of the market honed in on. It was a nice even 10% drop from the highs for SPY, so that made it even better.

And so when markets started going up from there, way too many people jumped in with both feet.

That went on for nearly two full weeks.

Then last week hit and we saw three big red candle days — down… down… down.

Now just this weekend, markets dumped hard again and two of the three major indexes made new lows for the year.

And sure enough, folks are blaming the headlines.

Trump supposedly “went buck wild” with tariff talk, and the newswires lit up.

But like I said in Friday’s article… It’s rarely the news. The market was already primed to drop.

That’s what happens when you hit a wall of resistance with no momentum behind you.

Traders just needed an excuse to panic — and they found one.

Over the past few weeks, I’ve pointed out how once the indexes fall below all three of my key moving averages — the 20-day, the 50-day, and the 200-day — it takes a lot of strength and momentum to punch back through.

And that kind of recovery doesn’t happen overnight. It takes time, catalysts, and real buying pressure from the big players.

Meanwhile, most retail traders are just sitting there, hoping.

As I said on Friday:

“That doesn’t mean the market can’t go higher. It just means if it’s going to, it’s gonna have to fight for every inch.”

But the market doesn’t care how much you want it to go up.

If you’re ignoring what the charts are showing — and instead just hoping for the best — you’re gonna get chopped up.

We’ve seen it time and time again.

Hope is not a strategy.

This is exactly why I’ve been focusing on bearish setups lately.

Not because I’m a perma-bear. Not because I like being negative.

But because that’s what the charts are telling me to do.

When the momentum is down, you don’t fight it. You don’t wish it away. You trade with it.

And you stay laser-focused on the best setups only — the cleanest patterns, clearest trends, and the stocks with room to move.

This is a time to be selective. Be calculated. Be disciplined.

Not to chase bounces. Not to cross your fingers.

And certainly not to bury your head in the sand.

Because in markets like these… you either trade with the trend, or you get run over by it.

Trade well,
Jack Carter

P.S. I found a little-known pattern in super-volatile Tesla stock that made me do a double take! You would not believe the income opportunity — click here to hear all about it!