Good evening StockBandits!
The perfect word for this market right now is meandering. Described as “wandering aimlessly, taking an indirect course,” that’s exactly what we’re seeing take place in the market. Aimless? Yes, we’re going sideways in the short term. Indirect? That’s certainly how I would describe this choppy tape.
The action today was well within the recent norm, as we saw an end put to the 2-day dip with minor gains across the board. The 3-week trading ranges went undisturbed as price simply maintained its lateral trend with a modest lift which stopped well shy of threatening a breakout.
So, what to do? Well, you can do what I did many times in the past, which is to ignore conditions and build exposure in hopes of a move. I don’t know how that will work out this time for you, but it never really proved beneficial for me – hence the reason I used to do it. You could instead just exercise patience, knowing that the market will cycle and exit this short-term zone of indecision and exhibit better momentum, at which point some added exposure might make more sense.
As for me, I’m going with the latter approach right now and sticking with some quick flips while waiting for standout charts and better overall price action before aggressively adding to my overnight exposure. Of last night’s setups, only one triggered today (ACAD), but it was well worth it.
Let’s get to the charts.
Bullish Watch (click for charts)
Bearish Watch (click for charts)
Trade Like A Bandit!
Jeff
