AT40 = 17.3% of stocks are trading above their respective 40-day moving averages (DMAs) – 10th day of oversold period following 4-day oversold period AT200 = 29.5% of stocks are trading above their respective 200DMAs VIX = 23.4 Short-term Trading Call: bullish Commentary The small bullish divergence to start the week received follow-through in the form of a big...
Directional Bias: Long Price Target: 25300+ Good Entry: 24500-24600 Risk/Reward: Max Risk of 125 Points, Potential Reward of 700-800 points
lets see this run its tail off
The Options Market's depiction of non-directional volatility next week. Increase from $66 last week to $90 this coming week. I enjoy this week-by-week update, now on Week #3. I think I'll likely continue this series. Hope you all enjoy it as well. Last week's game plan worked well, pinging from value area to value area. One Gravity Point to the next. For what...
Shares of the S&P 500 (SPX) are in serious trouble. We've violated a multi-year trend line going back to recession lows of 666 (white line), sliced thru the major moving averages like the government slashes through our money, so I'm officially calling the uptrend over... until proven otherwise, sell in to any strength and hedge yourself! Happy trading and be...
Shares of the AMLP, which tracks a basket of MLP's (master limited partnerships), has been a stellar holding since mid-April both in terms of price and total return, thanks to its rich 7.8% dividend (at current prices). This advance has now pulled back to the 61.8% retracement , which is ideal for a continuation of the advance. I've been aggressively buying over...
This Chart compares patterns and bull flags (2012 and 2018). They look very similar! Cheers!
M top formation: two swing target, one has already reached, another one to 148. Looking for stability and long there.
The S&P500 (SPX) has broken some important supports lately. I'm using SPY as a proxy. The first chart, on the left, is a monthly going back to the lows of the recession at 666. The second chart, on the right, is a daily to show the trend line up close, as well as to show that SPY has lost its 200 day s.m.a., too. This suggests a longer-term decline of a...
German DAX just lost it. It's very hard to be positive on stocks if one of the most important stock indices is losing every line of support. There are more and more signs that a (deeper) market correction is very likely. Please read the following posts on my site to get more insight on this topic: - Winter coming? - Rotation to gold and miners? - Sectors on the...
TWTR announces earnings on Thursday before market open, and with a rank of 92 and a 30-day implied of 70, it presents ideal metrics for a earnings announcement volatility contraction play. As of Friday close, the November 16th 25/34 short strangle is paying 1.57 (.79 profit at 50% max), with a net delta of .39 and a theta of 6.45, and break evens of 23.43/35.57...
The Options Market's depiction of non-directional volatility next week. Decrease from $71 to $66. Last week's game plan worked well, pinging from value area to value area. Back exactly where we began last week. Let's see how week #2 goes
Well - volatility has been crazy but the bulls are coming back as strong as the bears were last week. The 7320 target reached and has even been exceeded. Here is a price action scenario I can see occuring and would be looking for the following trade setup: Directional Bias: Long Price Target: 7420 Good Entry: 7200-7220 Risk/Reward: 30 points max risk (below...
The small caps have been killed but I think we may be in for a nice bounce targeting the 1590 area for 30 point upside. Directional Bias: Long Price Target: 1590 on RTY Futures Good Entry: 1548-1555 Risk/Reward: Max risk of 10 points/30 point reward.
AT40 = 13.2% of stocks are trading above their respective 40-day moving averages (DMAs) – a 4th oversold day (below 20%) AT200 = 33.6% of stocks are trading above their respective 200DMAs VIX = 21.3 (no change) Short-term Trading Call: bullish Commentary All eyes are now trained on the stock market’s critical long-term moving averages as oversold conditions...