Strategy Session Video – May 1, 2026

by MarketMentor

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Read the transcript HERE

Key Takeaways

  • The Slingshot Pattern: The current market behavior is a classic V-shaped “shakeout, fake-out.” This vertical snap-back is designed to leave retail traders in cash while institutions are forced to buy at all-time highs.

  • Gamma Squeeze Gasoline: When traders buy far-out-of-the-money calls, market makers are forced to buy the underlying stock to hedge their risk. As the price rises, they must buy even more stock, creating a self-reinforcing “fire” that drives prices higher.

  • The “Fishhook” Pearl: A “fishhook” occurs when the opposite Bollinger Band curls toward the price during a run. This is a high-probability technical “tell” that a trend is exhausting and it’s time to scale out.

  • R-Multiples > Percentages: Amateurs talk about percentage gains; professionals talk about R-Multiples. Making $3.30 for every $1.00 risked (3.3R) is the only way to build long-term wealth.

  • Respect Your Stops: A stop is a contract you make with yourself. Never “lift” or widen a stop. If you die by your stop, you live to trade another day; if you ignore it, you reinforce bad habits that lead to a downward psychological spiral.

The Psychology of the Chase—Why the Trend is Your Only Friend

The Institutional “Oh Crap” Moment

We are currently witnessing one of the most powerful dynamics in the market: Big Money is “behind the curve.” Hedge fund managers who failed to get long during the April pullback are now watching the S&P 500 and Nasdaq rip to new all-time highs without them. This leads to “The Chase”—a desperate scramble for shares that creates the vertical skyscrapers we see on names like Google and NVIDIA.

The Google Game Plan: Road to $500

While some analysts are calling for a top, Dan Fitzpatrick is looking toward $500 for Alphabet ($GOOGL). Why? Because the weekly chart shows a “slingshot” uncoiling from months of consolidation. When the most brilliant minds in marketing and AI (like multi-millionaire Qasem Aslam) tell you Google is the only stock they own because Gemini is undervalued, you don’t fight the tape—you ride the wave.

The “Four Horsemen” of the AI Build-out

The data center trade isn’t just about GPUs anymore. It’s about Memory and Storage. Our “Four Horsemen”—Seagate, SanDisk, Micron, and Western Digital—are currently re-rating. These aren’t cyclical commodities; they are the structural backbone of the new world. If you missed the initial pop, watch the 8-day EMA. In a trending market, the 8-day pullback is the professional’s secret entrance.

The “Shame on You” Rule

We saw a monster trade in Orca, surging from $36 to $90. If you’re still holding after a 25% drop from the peak, as Dan says, “Shame on you.” Profit-taking is an art form. By trading in “scales”—taking a third or a half off the table—you pay for your initial risk and turn a stressful trade into a “house money” position.

Strategy Session

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