Short term I am guessing we see lots of chop. I personally am trading SPY QQQ XLK SMH XLF and some AAPL and VIX. I am looking for RSI and/ or PPO divergences on the hourly and daily timeframes.
Longer term technically speaking we have broken down. If we are going back to new all time highs any time soon we need buyers to start to step in ASAP. The divergence on the RSI and PPO are bearish and the PPO just made a bearish cross on the monthly.
Even though the duration of the majority of my trades is typically only one day to eight weeks it is important to keep the bigger picture in mind. In an up trend I do not take bearish set ups as seriously as they are confirmed less often and usually if they are confirmed they do not play out to their fullest potential. The same is true in a down trend. IF this is the start of a bear market (and by no means is it yet!) it will be important for me and my strategy to remember the opposite is true.
Good luck and happy trading!
Lastly, remember that if unsure or there is no clear direction that cash is a position!
Longer term technically speaking we have broken down. If we are going back to new all time highs any time soon we need buyers to start to step in ASAP. The divergence on the RSI and PPO are bearish and the PPO just made a bearish cross on the monthly.
Even though the duration of the majority of my trades is typically only one day to eight weeks it is important to keep the bigger picture in mind. In an up trend I do not take bearish set ups as seriously as they are confirmed less often and usually if they are confirmed they do not play out to their fullest potential. The same is true in a down trend. IF this is the start of a bear market (and by no means is it yet!) it will be important for me and my strategy to remember the opposite is true.
Good luck and happy trading!
Lastly, remember that if unsure or there is no clear direction that cash is a position!