What Most Traders Miss (Even When It’s Right in Front of Them)

Jack Carter | May 28, 2025

Hey Traders,

Ever had a moment where something was sitting right in front of you the whole time — but you just couldn’t see it?

Maybe it’s your sunglasses on your head. Or your keys, sitting right there on the counter while you tear the house apart looking for them.

You feel a little silly once you finally spot it. But it happens to everybody.

And the same thing happens in the market — all the time.

The last few days have been a perfect example.

Markets went into Friday gapping down on news of something. I think it was tariffs.

But despite gapping down, did you see where SPY bounced?

Right at its underlying support trendline.

Then over the long weekend, news came out the Trump was backing off from those tariffs and Monday we saw an even bigger gap up.

It’s Not The News

But here’s the thing: there’s always a reason in the news. If the market had gapped up on Tuesday, the headlines would’ve had a different story. They always do.

But if you’ve been following along with me — drawing your trendlines, watching the structure — you already know the real reason things happened the way they did.

The SPY dropped… and bounced right off its supporting moving average.

Same with DIA. QQQ didn’t even get that low — it stayed strong, well above its key support levels.

Funny how those moves always come right at the exact levels we’ve been watching.

On the way down earlier this year, markets slipped below their major moving averages and couldn’t break back above them. Every rally smacked into resistance.

Now? The script’s flipped.

We’re above those trendlines. And wouldn’t you know it — they’re acting like a floor now. Holding the bounce. Creating support.

It’s just structure.

It’s how the market works.

And once you learn to see it, you stop chasing headlines. You stop second-guessing yourself. You just follow the lines and let them show you what matters.

Markets On Edge

Now, I’ll say this — markets seemed a little on edge today. Not falling. Not rallying. Just kinda jittery.

That’s probably because NVDA earnings are coming after the close.

Now, you know I’m not a big fan of trading off the news — and I certainly don’t recommend placing a trade because of some earnings report.

But when a fish that big is splashing around in the pond, it’s good to at least be aware.

So stay alert, keep your setups tight, and remember…

Just like your keys being right under your nose — the market’s giving you the answer. You’ve just got to look where it actually is.

Trade well,
Jack Carter

P.S. Have you seen this brilliant way Geof Smith is playing the gold supercycle?

Trending Stocks of the Week — May 28, 2025

Jack Carter | May 28, 2025

TSLA just caught a massive bullish bid from the Wall Street “Big Money”! Get all the details here!

To help you discover the power of trends, every week I share with you a handful of the top trending stocks.

These stocks are picked by my purpose-built, custom-made TrendPoint software to pick the strongest trending stocks in the market right now.

If you know anything about me, you know that every trade I get into starts with a trending stock.

Unless a stock is in a strong trend, I don’t want to hear about it. In my book, wishy washy stocks are the quickest way to losing money.

This Week’s Stocks

All three indexes — SPY, DIA and QQQ — are above all three of their trend lines right now.

Last week, we had some bullish crossover and right now that momentum is carrying us through. Let’s see how NVDA earnings come in this evening.

Just one pick this week and it’s bullish:

  • PM

And don’t forget about last week’s list, which you can find here.

What can you do with these stocks?

Well, there are a couple of things you could consider — after doing your own research, of course:

  1. Buy or short — For bullish stocks, this is probably the simplest thing you could do. Then just wait for it to go up and sell when you hit a profit target you’re comfortable with. This is only for upward-trending stocks we’re long on.

    For downward-trending stocks (those that we’re bearish on), you can short them. This is a little more advanced, so if you’re just getting started, I wouldn’t recommend this play. Remember, just like buying a stock, shorting comes with unlimited risk if the stock moves against you, so always have a clear stop-loss in place.
  2. You could buy an option.

    For bullish stocks, this means buying a call option.
    For bearish stocks, this means buying a put option.

    You know I’m not a fan of speculative plays, but every once in a while it doesn’t hurt to throw a little cash at a speculative option. Just remember, while options can move bigtime if the stock goes up… the downside of options is that you have a time limit on how quickly you need the stock to make that move.

    So think about your risk tolerance when you consider buying calls on bullish stocks or buying puts on bearish stocks.
  3. You could collect instant income.

    If you’ve been following me for any length of time, you know that I’m a big fan of income plays, because they massively increase your odds of winning. We do this by SELLING options instead of buying them.

    Not only do income plays let you get paid instantly — as soon as you place the trade. You massively increase your odds of winning, because the way we trade them, you don’t have to be 100% right about the direction of the stock.

    If you haven’t tried your hand at income trading yet, I urge you to try this exercise for yourself. Without risking any money, it will really let you see the power of income trading and why it’s my favorite method.

    Income plays on bullish stocks can be naked puts, covered calls or a bull put spread.

    Income plays on bearish stocks will be a little more complicated. But if you’re a more advanced trader, you can look into doing a short term bear call spread, which involves selling an out-of-the-money call and buying a call one strike price higher.

That’s all for now.

Stay tuned, because I’ll be sending you a new list of TrendPoint Best Trending Stocks every week! (usually Mondays)

Trade well,

Jack Carter