And it all comes down to this: What's going on guys? It's Ricky here with talk about Solutions I'm testing out a new lens. Let me know if you guys like it. It's a little bit on the wider side, but uh, tomorrow is the unemployment rate and I mean tomorrow, we'll determine if the market goes back to previous highs and if the Bulls take back what they've given back in the past two to three weeks. Or if again, we're just gonna go back to retest previous lows and then continue to sell off I Want to remind you that the reason that tomorrow's unemployment rate is so important is not because of the world.

Or at least the US is super. You know, um, concerned about our unemployment rate. Unemployment is relatively very low, and even the Federal Reserve has said this right. The reason that it's so important is because based off of that unemployment rate, how will the Federal Reserve react? And it's how the market digests that based off of the assumptions they will make for the next Fomc meeting.

The whole focus is once this report comes out. Will this support the case? That the Federal Reserve could continue to raise rates if it's support towards a strong labor market, Or if it's showing a weak labor market right with unemployment, maybe being higher than what was expected? Maybe we're already seeing enough of a Slowdown that the Federal Reserve doesn't have to continue to be as hawkish and as aggressive and continue to raise rates. I Want you to understand the why, the why we're so focused on the unemployment rate. And it's not because oh my.

God Unemployment is so high. No unemployment is still very, very low. But if it comes in higher than what is expected, the Federal Reserve can interpret that as okay. the economy is slowing down, unemployment is going up.

Maybe we don't have to be as aggressive and as hawkish. And I want you to understand that, right? So let me go ahead and start sharing my screen so you guys could see exactly what it is that I'm looking at. And just like we said in today's earlier video, I Hope that you guys watched it. but we've been talking about this five minute moving average on QQQ right? So five minute moving average has been acting as a support.

You could see that every single time that we were traced back, the moving average has been a very reliable indicator. Not perfect, but very useful as NASDAQ pulls on back and then it bounces. It bounces right. It's never perfect, but it's been pretty reliable for the past couple of days.

Now it's not perfect as again, it has traded below. uh, the moving average. and that's when there was a break if pattern. So tomorrow, the reason I'm so focused on this is if we actually break below the moving average just like we saw last time, we could see a lot of selling pressure, right? And I think this unemployment rate depending on how the market digests right, that data will determine if we bounce off of this moving average and go back to retest previous highs and if we look at the four hour time frame.

remember we're not that far from previous you know, highs on NASDAQ and that's at 388 Pretty much. Um, and I mean let's actually calculate this right? So from where we're at right now, it's for the potential upside. We have about 2.47 on QQQ potential Downside: Six point two, Seven percent. So now you could see why.

a lot of people are kind of like excited for tomorrow, because if the market does pull on back, remember the only people that freak out when the market pulls on back. For those that did not prepare right and that shouldn't be you. Because you know that you can make money both on bull markets and or on bear markets as long as you focus on one thing. and that's Market direction right? So what's going to happen tomorrow? There's no reason for us to try to predict, it's just let's wait for the report to come out.

Let's let's wait for the market to react and then we can trade accordingly, right? Very, very simple. so we'll see if we break below this moving average and actually begin to sell off as you can see. quite quite a bit of downside, but one of the things that I quickly want to cover is what is the Market's expectation for this unemployment rate. And again, the next unemployment rate is tomorrow which is September 1st 2023 and the forecast is 3.5 percent.

Our current is 3.5 percent, so the forecast is 3.5 to 3.6 and based off of what is actually released tomorrow will determine hey, is unemployment higher than what was expected or lower than what was expected and then based off of what is reported again, the market will make assumptions and begin to factor in those assumptions. What on what they think the Federal Reserve will make sense of that data. It's a it's It's a very simple process if you actually think about it because when these economic reports get released, the market tries to make assumptions and then those assumptions get factored in in advance, right? And this is where again the stock market is very different to other markets because while other markets, it takes time kind of like real estate when things get announced, then the markets shift over a period of time for the stock market. Even before things are announced, there's things that are factored in in advance and we normally make these assumptions.

Right now, a big focus is monetary policy because inflation was so high and then now we're working back down to our two percent Target that the Federal Reserve has set right. So very excited to follow up again. We will be talking about this during tomorrow's live trading session. I would love to have you there.

You guys know that I work with one team and one team only. That is our Lpp team and they simply get to watch me trade live every single day. They get to see my entries, my exits, but most importantly, they get to hear my thought process behind every trade. I Take during that live stream.

If you want to learn more about it again, it's the second link in the description down below. It's a one-time payment, lifetime access and I Hope to see you there tomorrow at Market Open for a live session Appreciate your time, Hope that earned your thumbs up! If you have any questions, feel free to send me a direct message via Discord That's the first link in the description down below And like always, let's make sure that we end the year on our green note. Take it easy team.