Let’s say for example you notice a Tech stock that is strong, it has a good D1 and you want to swing it – but you also notice that the sector itself is down and continues to be a drag on the market overall – you also know, on a macro-level that rate-hikes impact Growth stocks (which are dependent on future earnings) more than value stocks and finally you notice that recent economic numbers are strong which historically leads the FED to believe the economy is well-equipped to shoulder the burden of more aggressive rate hikes.  So now you put it all together and it gives you pause on that swing trade until you get additional information.  See how that combines everything?
Mark As Read