$226.61
24h
-1.42%
7 Oct, 01:15
CrowdStrike follows cybersecurity sector momentum
Bullish-18.74%
AI Summary
The author advocates a sector-first trading approach, identifying the cybersecurity ETF ($CIBR) and its leaders ($CRWD, $PANW) as the current momentum plays to follow after breaking key resistance levels, while advising caution on the memory semiconductor sector ($DRAM, $MU, etc.) which remains in consolidation.
THIS IS WHY YOU’RE ALWAYS LOSING AT TRADING
Here’s how to stop losing money…
Everyone is chasing memory stocks this week.
But almost nobody is looking at what the ETF is doing.
$DRAM is sitting directly under major WEEKLY supply and rejecting.
That doesn’t mean memory can’t break out.
It means WAIT.
Break the supply.
Retest it.
Hold above it.
Then look for the entry.
Now look at $MU, $SNDK and $SKHY.
Same story.
They’re running into resistance because the entire sector is.
Now compare that to cybersecurity.
$CIBR actually BROKE its weekly level and pushed into new highs.
Even better:
The new weekly candle opened ABOVE the previous week’s close and continued higher.
That’s the momentum I want to follow.
Now look at $CRWD and $PANW.
They’re following the sector.
This is why I keep telling you:
STOP TRADING STOCKS IN ISOLATION.
ETF first.
Find the leader.
Mark the level.
Wait for the break.
Wait for the retest.
Then enter.
The sector will tell you the story before most traders ever see it.