Weekly Review of TPOW Trade:
This week, we executed a trade on DOCU, purchasing at the open on Monday, January 6th, at a price of $91.16 per share. By the close of trading on Friday, January 10th, we exited our position at $90.49 per share, resulting in a loss of $0.67 per share, or approximately -0.74%. While disappointing, this reflects the inherent fluctuations in the market and reinforces the importance of disciplined trading strategies.
Shortened Week and Memorial Observance:
This trading week was abbreviated as markets paused to honor the late President Jimmy Carter, whose memorial services took place midweek. His passing marked the end of an era, and the financial community joined the nation in remembering his contributions to public service. The shortened week likely contributed to lower trading volumes, which may have impacted price movements and liquidity.
Economic News Highlights:
Several key economic developments influenced market sentiment this week:
- December Jobs Report: The U.S. Labor Department released the latest employment data, which showed a modest increase in job growth but also signs of cooling wage inflation. Investors interpreted this as a mixed signal, reflecting a resilient labor market but with potential implications for future Federal Reserve rate decisions.
- FOMC Meeting Minutes: The Federal Reserve’s December meeting minutes revealed ongoing concerns about inflation, with members emphasizing the need to remain vigilant despite signs of progress. This kept markets on edge regarding future interest rate hikes.
- Tech Sector Weakness: Broader concerns about slowing growth in the technology sector weighed on sentiment, with several high-profile companies issuing cautious outlooks for the first quarter of 2025.
- Geopolitical Uncertainty: Renewed tensions in global trade discussions added another layer of volatility, keeping investors cautious.
Performance Comparison:
The S&P 500 (SPY) was down 1.53% for the week, further highlighting that TPOW’s disciplined trading approach continues to outperform the buy-and-hold strategy in challenging market conditions.
Looking Ahead:
As we move into next week, our focus will remain on identifying high-probability trades in line with our proven systems. We encourage members to stay disciplined, follow the Green Line Rules, and remain attuned to market-moving news. Stay tuned for next week’s Featured Stock and updated Watch List.
