Good morning/evening/night guys. As every Monday, find here your weekly dose on market analysis, the most relevant industry stats, and our best tips to profit from this exciting market while learning from it!

Bitcoin

As we have been commenting during the last week. Now is time to keep an eye on BTC.

After the correction during the weekend, it bounced nicely on the local uptrend support we pointed a few days ago and it's getting closer to the final squeeze on the local downtrend resistance too. As we commented a breakout there, (over $59,00) would lead to a full bullish breakout.

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Big Caps index

Now checking into the Big Caps Index, we can see how the key horizontal support on the 14,000 sats continues holding, but it's struggling to bounce again and push for the breakout.

We are reaching the final squeeze during the next day/two days. Needs to bounce from here in order to activate the bullish continuation. A huge move from BTC which is looking pretty bullish at the moment would delay the Altcoin action.

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Mid Caps index

Meanwhile, if we look into the Mid Caps Index we can see how after the breakdown of the main uptrend support it bounced heavily to restest the local downtrend resistance and try to recover the 2,800 level.

Which for now is holding nicely while consolidating into a minor falling wedge. Still not confident until we have a breakout here. Tracking closely still.

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Skin in the game

Avoid reactive decision making in trading

It is equally important what you trade and how you trade. Everyone can learn technical and fundamental analysis but trading psychology and mindset is where most fails. Greed and fear are the major part of our emotions that come into play while trading. You can use them to your advantage otherwise you might end up getting used by the theme. These two factors are the major source of developing bad as well as good trading habits. According to a survey, the biggest reason for making losses in trades was the forced trades. That is, they did not wait for the proper setup to enter a trade and resulted in burning themselves.

Usually, here's what happens when a trader forces himself into a trade.

• Personalizing a market situation:

We personalize a market situation in some manner. Like we had a plan to enter in a trade at a particular price but we missed that opportunity and the market is already moved or the market stopped you out before taking the intended route and left you concerned about taking a loss or making you feel like losing a bigger chunk of profit if you kept away from the market. Fear and greed got involved here and you seem to be losing patience and self-control.

• Emotional Reaction

The situation that you have personalized will lead to an emotional reaction. That outcome or reaction can be the result of fear, greed, frustration, or overconfidence. The emotional reaction completely destroys our way of thinking from a practical perspective to an emotional perspective and we personalize it in a way that it no longer remains a trade rather becomes a fight of our body and mind with our feelings and emotions.

• Reactive decision-making

That emotional reaction leads us to reactive decision-making that is not beneficial for our trade and we might end up taking a trade that is no longer suitable for us or we might not take a trade that was the best one to take in a particular situation. We only realize this after we see the outcome of that decision and gives us a feeling that how foolish we were for not taking the right path.

• Bottom line

These are the three things that play an important role in our trading performance. Once we understand these things, we will be able to quickly identify our thinking patterns and will be able to get ourselves on track before it's too late. Being negative, impatience, and having less self-control are routine traits of a normal man. You have to train yourself to push yourself out of these traits. It will make you a disciplined person and will give you a required maturity level that will not only help in your trading business but in other ventures and personal life as well.

Story of the week

Phil Knight

This guy build Nike to what it is now, one of the biggest brands in the world! He became a self-made billionaire and is one of the richest self-made in the world! Check out how he did it!

Phil Knight was born on February 24, 1983. He ran track at the University of Oregon and graduated in 1959 with a degree in journalism. After serving in the Army for a year, he went back to school to earn his MBA from Stanford’s Graduate School of Business.

Knight first came up with the idea for Blue Ribbon Sports, the company that later became Nike, during his time at Stanford. He teamed up with his college track coach from Oregon, Bill Bowerman, and they each put in $500 to get the company off the ground.

BRS’ strategy was to import Japanese sneakers called Onitsuka Tigers and sell them at higher price points in the US, making a profit on the markup. When Bowerman came up with his own design for what became the brand’s signature rubber-waffled sole in 1971.

When the company officially rebranded as Nike in 1971, several well-known athletes were prominently sporting the shoes, helping double profits annually. Knight and Bowerman’s connections to the running community and focus on producing high-quality products made it the top choice for athletes.

The company released the Nike Cortez in 1972 in tandem with the 1972 Olympics in Munich, and Knight ensured the shoes became a top choice of Olympic athletes. The Cortezes came in a variety of colors and debuted Nike’s now ubiquitous “swoosh” logo.

Nike grew quickly throughout the ‘70s and early ‘80s, and its revenue jumped from $28.7m in 1973 to $867m in 1983.

The company launched the now ubiquitous Air Force 1 model in 1982. It was the first shoe to feature Nike Air, a pocket of air in the heel that provided additional cushioning and support to basketball players. It went on to become one of the most popular sneakers ever.

One of Knight’s accomplishments was signing Michael Jordan for an endorsement deal and launching Air Jordan, now one of the most successful sneaker franchises of all time. Nike courted Jordan in 1985 when he was a college basketball all-star on his way to the NBA.

Air Jordans hit stores for $65 apiece in March 1985, and by May the company had sold $70m worth of Jordans, earning more than $100m in revenue from the shoe by the end of the year.

Nike’s sales began collapsing in the mid-1980s, Knight knew the company needed to make a major shift in its thinking. It was then that he realized although Nike was marketing to top athletes, the majority of its customers were average citizens, most of whom didn’t even use the shoes for sports.

He altered Nike from a product-oriented company to a marketing-oriented one. He began appealing to the everyday customer, eventually turning around sales. By the end of 1991, it had regained its footing, with sales totaling over $3bn.

Knight’s marketing genius stemmed from the fact that he didn’t focus on just selling shoes; he always made it about something more. At an industry conference in the mid-1970s, he pointed out an important distinction of his marketing scheme: He proclaimed he wasn’t in the shoe business, he was in the entertainment business.

In the ‘90s, Nike faced another obstacle: The company had garnered a reputation for using sweatshops and unfair labor practices. Customers began boycotting the brand and protesting outside of its stores, creating a widespread distaste for Nike that lasted nearly a decade.

Sales dropped so low that, by 1998, Nike was forced to start laying off staff. Once again, Knight, who was CEO at the time, stepped in and made drastic changes to save the brand.

He owned up to the company’s dismal reputation, raised the minimum wage it paid workers, improved oversight of labor practices, and made sure factories had clean air. Public perception began to turn around, and Nike found itself back on top.

The brand has stayed a powerhouse since. It controls a whopping 62% of athletic-footwear brand share in the US, and its annual revenue tops $37.4bn.

Knight himself isn’t doing too poorly either: He’s worth a reported $49bn and owns two private jets, a 2013 Gulfstream G650 and 1999 Gulfstream G-V.

Have a nice day, see you soon!Rand