Good evening StockBandits!
Last week felt like a down week for the market, but believe it or not, each of the indexes posted minor gains for the week. There was quite a bit of up-and-down though, as rallies were almost completely offset by declines on Tuesday and Friday. In the end though, a final-hour bounce Friday afternoon brought the market positive on the week.
That bounce was not unlike the sharp rally we saw Thursday, as each of them were characterized by steep, nearly nonstop advances. With the market sitting off its recent highs, bears are getting more active on the short side, and those rallies both felt very “squeezy” with the sudden and relentless ramps.
Whether it’s bulls defending their territory (again) or bears becoming anxious to have a run of their own, it’s becoming clear that emotions are running higher for this market for the first time in a while. I’m highly encouraged by that. Even though in the short-term we’re seeing indecision with this battle playing out within the current trading range, at some point we’ll see some excellent follow through as one side surrenders reluctantly to the other.
For now, we’re still seeing prices in the indexes defined by clear boundaries of support and resistance, so until we push beyond those levels – and especially on a closing basis – anything’s possible and more noise could come our way. My plan is to keep it short-term for the most part until we see this range get broken, then become more aggressive by getting positioned for the next move once the technical break I’m waiting for finally arrives. Quite a few stocks are working on bases which may only need another bar or two before they’re ready for listing as swing trades.
I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.
Here is tonight’s video:
The Bandit Broadcast Video – Click to Watch!
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Video Stocks Discussed: SOHU, CRZO, PPO, IDCC, IVN, POT
Swing Trading Candidates:
NONE TONIGHT
Bullish Watch:
SRZ, KSU, SD, KEG, SGY, VSEA, SM, SOHU, SU, SBGI, SNCR, ICE, HS, BP, COP, COG, TTWO, CRZO, PPO, FCEA, EXR, HSIC
Bearish Watch:
IDCC, IVN, ARW, CREE, FCX, F, PCAR, ALV, LVS, POT, RGA, CAB, AKAM, INFA
The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.
