So far October volatility has not let us down…

But how can we possibly make money in such a whipsaw market?

It seems like every time you enter a nice setup, the market changes directions… not just a little… but the swings are violent.

Trading losses can accumulate quickly if you are not careful.

If your trading system is too rigid and not flexible enough … then it can’t be trusted in this market…

So why should you stick with it? 

Sometimes all you need to do is recalibrate. And I’m going to show you exactly how I do that, as well as, tips you can use to limit your exposure to market volatility.


Using Quick Wins to Stay Out of The Market’s Mess


Look at the past week (blue oval) on the SPY chart. Wow!

That right there is what leads to punching a hole in the wall, or so I’m told…

But all joking aside… the market is rife with uncertainty. So what can you do to stay out of the mire?

It can be as simple as lowering your exposure to the swings…



You see the ugliness in the SPY chart above… now let’s look at a BETTER way…

Limit your exposure to the swings led by uncertainty in the markets.

How do you limit exposure?

It’s quite simple actually… by not being in the market for long periods… when you are swing trading, you are left exposed to the wild unpredictable swings.

Very likely you are seeing stops get hit, just to watch the stock turn back around again. In the past week, this has been a daily occurrence…

It’s important to recognize the overall market conditions and know if your system can operate profitably within it.

If not can your system be tweaked/ adjusted?

  • Tighten, or Loosen stops
  • Trade less, be more picky
  • Take profits off the table quicker 
  • Shorten trade timeframes – Limit Your Exposure to the Swings

Or simply take a break until the conditions change…

Here’s how I handle the uncertainty:

Imagine finding stocks that are ready to pop and get in and out on that exact pop… you won’t be exposed to the swings in the market…

Now, look at the chart for CLSI.

I had traded this for a gain when the stock broke above my Supernova Line right at the end of September.

What happened next? 

The stock retested the Supernova Line…  3 times without breaking below it (blue oval).

Then on Monday, it showed up in my scan for Boost Trades as it started to spike up above the high of the day before… I also like that it was trading at highs at the end of the day, confirming strength.

So I took the trade looking for it to pop up the next day… and the chart is pretty clear as to what happened the next day… POP, Supernova Baby!



So what’s this got to do with the fog in uncertain times…

I can’t stress this enough… 

Limit your exposure to the uncertainty and wild swings in the market by trading in and out for quick profits

Penny stocks dance to their own music… the past two days in CLSI + nice pop-ups… the past two days in the SPY – down…

I am grabbing quick profits and moving on to the next trade… over and over.

Taking a break from trading has never been a thought because my system is primed for any market…

Learn how to take advantage of stocks ready to POP overnight…




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Author: Jeff Williams

Jeff Williams is a full-time day trader with over 15 years experience. Thousands of entry-level and experienced traders alike – day-traders and swing-trade small cap stock traders – credit Jeff with guiding them to turning small accounts into big accounts.

Jeff’s "Small Account Challenge" shows people how to transform accounts from a few thousand dollars into $25k, $50k or even $100k.

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