First Strike, 7 Feb 2023

🖼 Daily Technical Picture 📈

➤ Equities opened lower and ended from where it started. The more speculate stocks selling off more than the Bluechips. This was sufficient to get me into the Bearish mode.

➤ S&P500 is now trading below the double resistance line. I see the potential for it to drop some more. I'm using a small amount of capital to take a short position.

➤ This is also the first "live" test trade for my volatility strategy. This test involves using real capital in real trading conditions but with a small portfolio allocation.

➤ The play book going forward was outlined yesterday: A short opportunity first. This then opens up the second set of opportunities offering the high conviction trades. Increasing short positions as price weakens further with continued selling pressure or reverse with long positions if Bulls come in and support the price to invalidate the short set-up.

➤ Conclusion: Back in the game.