CYH : A breakout potential to watch as markets waver

NYSE:CYH   Community Health Systems, Inc.
**S&P 500 and Market Behavior:**

We've been tracking the S&P's journey, and it's been quite the ride. After shorting the S&P at yesterday's close by snagging some SDS (an inverse ETF), I cashed out this morning when we dropped to that first key support level. I don't feel trouble is over however It's all about that classic trading mantra: buy support, sell resistance.

As I'm sharing these insights, the market is still buzzing, but what's crucial is how the S&P will fare by the end of the day. Will we break through to new heights, or will we falter? That's the million-dollar question.

**A Stock to Watch: CYH** (disclosure : I already hold a long position in this at the time of publishing this)

Now, let's talk about CYH, the stock that's been playing hard to get but finally gave us a wink. Here's why I'm long on CYH:

1. **The Weekly Chart** – A beautiful double bottom is taking shape, with a higher low a year apart. That's textbook bullish behavior right there.

3. **The Daily Chart** – This is where things get a little more interesting. We've got a downward channel that's been begging for a bullish reversal.

4. **The 200-Day Moving Average** – CYH just strutted right past it, and while it's early days and the market hasn't closed, I've taken a speculative position. It's a small stake for now, but if the S&P shows us some bullish muscle, I might just cozy up with a few more shares.

**The Strategy:**

I've got a tight stop loss in place, just below my entry point. It's all about risk management, folks. If the market gives us the green light, I'll be ready to beef up my position, however for now I'm just taking some small nibbles in both my longs and shorts.

I hope this little sneak peek into my trading thought process gives you some food for thought. Stay sharp, stay savvy, and as always, happy trading!

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