Good evening StockBandits!
A strong start this morning took the indexes beyond key levels, but only temporarily. The NAZ broke 2237 for a little while, and the S&P 500 cleared 1107, but by the closing bell, those levels prevailed yet again as resistance. This is a great example of a market that is respecting the technicals, and it’s a reminder of the importance of the closing levels.
It looks like this market is still consolidating beneath those key zones, which is entirely alright. So long as not too much ground is given back, more rest might actually benefit this market for the next time an attempt is made to fill the August 11th gaps. Today’s bar on the charts left many stocks with the look of failures from their short-term consolidations, so the wait continues for more conviction on the upside in terms of a secondary advance.
Tonight I’m away from my desk and running behind for personal reasons, so this will be an abbreviated Broadcast. I’ll of course still outline my plays for Friday, but the index focus will be narrower than usual and I’m coming to you in written format vs. the usual video format – thank you for understanding! With the market showing some short-term indecision here, and with it being a Friday, I’m going to stick with day trades rather than adding overnight exposure while stocks are generally basing.
Please leave your comments and/or questions below if you have any, I always enjoy the interaction.
Swing Trading Candidates:
NONE TONIGHT
Day Trading Candidates:
These are the trades I’m eyeing for potential plays tomorrow. I will not be holding these overnight, and will wait for these levels to be crossed before entering trades.
The Hit List post will follow shortly with my trade levels for the swing trades.
Another volume related comment…..Friday 10th will also likely be light due to the Jewish Holiday…
Then next week is options expiration and Friday 17th is the “eve” of the most important Jewish Holiday, so the volume will reflect that, possibly even with more people taking off the day rather than just the afternoon.
So, my expectations is the combo of this all is going to be a pretty “strange” week, even compared to this week. I will be on my toes….personally I sometimes find the volatility associated with low’ish volume good to trade, but harder to manage stops, so I tend to have lighter positions and more prone to scaling in…..and watching the volume on breakouts.
Thanks for sharing your thoughts Jon, always appreciated! You bring forth some great points, and I fully agree that staying on our toes is a good plan for a week with some unusual cross-currents.
Go get ’em today!