Good evening StockBandits!
Having successfully defended support in each of the major averages once again in recent days, the bulls certainly deserved a breather, and they took one today. That proved to be minor declines in 3 of the 4 indexes, with the DJIA posting a measly 6-point advance. Today’s bars were narrower than we’ve seen in the last few sessions as well, and we even saw closes near the center of the day’s trading range.
Speaking of trading ranges, yes, it’s still here. It’s sort of like that relative who has overstayed their welcome but still hasn’t left yet. Everyone’s starting to wonder when it will happen, but you’re just hoping it does sooner than later! The market is, in fact, exactly like that right now. We just can’t seem to shake this range, and by that token it really wasn’t surprising that we weren’t able to bust through resistance today. Maybe tomorrow, or maybe after “6 more weeks of winter.”
As long as conditions stay the same, it’s just a matter of selecting timeframes well for new trades. For those which are leaving their bases behind and have great risk/reward profiles associated with them, a multi-day swing timeframe is worth a shot. For the looser bases or those with upcoming earnings announcements, quick flips are the way to go.
Let’s get to the charts.
Bullish Watch (click for charts)
Bearish Watch (click for charts)
Trade Like A Bandit!
Jeff
