2/19-2/20 Monday and Tuesday Trading Plan

Apologies for the formatting today. TradingView has a formatting bug in their editor and this is the only way to publish until it's been resolved. Market Sentiment: Neutral to Bearish Vanguard's Economic Outlook: U.S. Consumer Health: Entering 2024, U.S. consumers remain financially healthy, potentially bolstering or stabilizing economic growth despite recession risks. S&P 500 Earnings Growth: Earnings Expectations: Wall Street's anticipation of double-digit earnings growth in 2024 and 2025, with the risk of market corrections if these expectations are not met. Stock Market Performance: Bullish Momentum: The S&P 500's continued growth into January 2024, reaching new highs amid a robust U.S. economy and mixed earnings reports. Federal Reserve's Interest Rate Outlook: Speculation on Rate Cuts: Market optimism for potential Fed rate cuts in 2024, tempered by analysts' caution over premature expectations. Tech Stock Valuations: Sustainability Concerns: Warnings about the sustainability of gains in major technology stocks, given their valuations. S&P 500 Milestone: Historic High: The index breaking above 5,000, signaling investor optimism and potential for further gains. Asian Currencies and Fed Rate Cuts: Currency Impacts: Potential benefits for certain Asian currencies from anticipated Federal Reserve rate cuts. France's Economic Growth Outlook: Growth Revision: France's lowered economic growth outlook for 2024, with implications for President Macron's economic strategy. European Banks' Profits: Record Profits: European banks' profits exceeding 100 billion, largely benefiting from rising interest rates. Regulatory Actions: Property and Tech Regulations: Expected UK curbs on short-term property rentals and EU fines on Apple, reflecting regulatory trends. Trading Plan for Monday/Tuesday: Support Levels to Watch: Critical Supports: 5016-18 and 4998, serving as pivotal points for market stability and potential shifts. Resistance Levels to Watch: Key Resistances: 5046-48 and 5055-58, acting as barriers to upward market movements and indicators of sentiment shifts. Trading Strategy: Holiday Session Caution: Emphasis on cautious trading during low volume holiday sessions, with a focus on capital preservation and disciplined trading within identified support and resistance levels. Tactics: Focus on disciplined trading within identified support and resistance levels, prepared to adapt quickly to market dynamics, especially in light of holiday sessions and OPEX Fridays. Disclaimer: This analysis is for educational purposes only and is not financial advice. Consult a professional financial advisor before making any trading decisions.

Comment:

📊 Market Sentiment: Neutral to Bearish

Vanguard's Economic Outlook:

U.S. Consumer Health: Entering 2024, U.S. consumers remain financially healthy, potentially bolstering or stabilizing economic growth despite recession risks.

S&P 500 Earnings Growth:

Earnings Expectations: Wall Street's anticipation of double-digit earnings growth in 2024 and 2025, with the risk of market corrections if these expectations are not met.

Stock Market Performance:

Bullish Momentum: The S&P 500's continued growth into January 2024, reaching new highs amid a robust U.S. economy and mixed earnings reports.

Federal Reserve's Interest Rate Outlook:

Speculation on Rate Cuts: Market optimism for potential Fed rate cuts in 2024, tempered by analysts' caution over premature expectations.

Tech Stock Valuations:

Sustainability Concerns: Warnings about the sustainability of gains in major technology stocks, given their valuations.

S&P 500 Milestone:

Historic High: The index breaking above 5,000, signaling investor optimism and potential for further gains.

Asian Currencies and Fed Rate Cuts:

Currency Impacts: Potential benefits for certain Asian currencies from anticipated Federal Reserve rate cuts.

France's Economic Growth Outlook:

Growth Revision: France's lowered economic growth outlook for 2024, with implications for President Macron's economic strategy.

European Banks' Profits:

Record Profits: European banks' profits exceeding €100 billion, largely benefiting from rising interest rates.

Regulatory Actions:

Property and Tech Regulations: Expected UK curbs on short-term property rentals and EU fines on Apple, reflecting regulatory trends.


📈 Trading Plan for Monday/Tuesday:

Support Levels to Watch:

Critical Supports: 5016-18 and 4998, serving as pivotal points for market stability and potential shifts.

Resistance Levels to Watch:

Key Resistances: 5046-48 and 5055-58, acting as barriers to upward market movements and indicators of sentiment shifts.

Trading Strategy:

Holiday Session Caution: Emphasis on cautious trading during low volume holiday sessions, with a focus on capital preservation and disciplined trading within identified support and resistance levels.

Tactics:

Focus on disciplined trading within identified support and resistance levels, prepared to adapt quickly to market dynamics, especially in light of holiday sessions.

🛑 Disclaimer: This analysis is for educational purposes only and is not financial advice. Consult a professional financial advisor before making any trading decisions.