Hey everyone, this is Robert Roy, founder of WealthBuildersHQ.com, and welcome to this edition of “Trade With Rob,” which is for April 6, 2021. I hope you all had a great trading day today. The markets just closed up. Let’s go ahead first and take a look at the market itself, the S&P 500 and see what’s going on.

So here we are on Monday. What a great close. 58 point move to the upside today. Thursday, remember markets were closed for Good Friday, Thursday was a great move up. Good gap, whereas Wednesday, Tuesday, Monday have kind of been okay with two phenomenal days the previous week. So, we’ve had some really nice movement take place here. We may be at a point where the market is “over-done,” we may see a pullback in there, but there are still some companies out there that are fighting the overall market with bearish setups in there, and just don’t have good numbers, aren’t looking very well right now.

So, let’s go ahead, and we’re going to kind of go counter-market today… the candidate we’re going to talk about today is BIDU, so let’s go ahead and jump right into today’s candidate.

Right here, this is our BIDU setup. Our Fibs, if we look at the Fibonacci on BIDU – let me grab a pen so we can lay it all out.

You’ve got this V-Top right here, we’ve got a wonderful V-Bottom here. We ran up to the 0.236, and we played between the 0.236 and the 0.382 for weeks. Broke hard, we broke hard, again we gapped down, closed up, and now we’re got our retracement back to our zero-line. This is where our zero-line breakout comes in. We have a confluence, which is this pink line, the 8 EMA and the Fibonacci – we’re got a confluence right there.

What am I looking for? Get those two lines close together, we get a close near that level, and now we look for a move to the downside. We’re at 222.29 at the closing price, so if we get a continuation move to the downside tomorrow, we are looking for a bearish entry to take us down to the 209.37 level. So, right about…well actually, let’s draw it in.

So if we look at a target down here at about 210.50, 211, somewhere around there… right around that level. There is our target. Our stop, we’re looking at…right around 234 is our stop. So here to here, you’ve got a 12-point stop, and to the downside, we’re looking at 222 to 211, you’ve got about 12 points there to our first target. So if we mark this up, this is our stop, this is our Target 1 (T1). T2 is going to be down here right about 193.

So at the first target, you’re at a breakeven almost, and what I mean by that is you’ve got equal risk/reward in there. So, at T1, we want to sell off half of the trade, and T2, we want to sell off the other half of the trade.

If we get a pop to the upside tomorrow, look for a breakout above the 227 level, a retest, and the bounce, and you’ve got your 21 EMA as resistance, and you can consider getting out of the trade.

Alright, there you have it, ladies and gentlemen. You have a glorious rest of your day. Stay focused on the quest of becoming a great trader, keep crushing it, and remember folks, you’re just one away. Good luck, and happy trading!

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