Good evening StockBandits!
A day after temporarily pushing past some important levels, the NAZ and S&P 500 each took a breather today. The indexes were down just slightly across the board, but the damage was quite insignificant and it truly was just a day of rest.
That’s in keeping with how things have been in the past few weeks, as the market has slowed its pace from the early-September ramp, and lately has been just grinding its way higher. That’s not a problem, as it has certainly kept the uptrend intact, but it leaves less momentum for short-term trading.
So tonight, we’re still in areas of prior congestion from April and May, but there are no technical reasons to be concerned for a downside reversal. Today’s dip was insignificant, volume was down, and the market is still in good technical shape. The benefit is that these rest days do help individual stocks to be able to base a bit, and that’s what most charts need the most right now.
One final note is that I will have a weekend newsletter (typically on Sundays, but this weekend it will be either Friday or Saturday) for Monday’s trading session, but I will not have an update on Monday night or Tuesday night. With baby 2 on the way soon, we’re moving to obtain more space and so this is the first portion of that phase. Anyway, just wanted to let you know that next week there’ll be 2 nights (Monday & Tuesday) on which there will be no update.
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: BYI, MDRX, EQIX, GMCR, FFIV
Swing Trading Candidates:
FFIV spent many months in an uptrend until recently when it saw an abrupt change of character with a high-volume downside reversal. That quickly negated the breakout it had just produced, and since then the attempt at a bounce has been quite poor. I’m eyeing this one for a turn lower from here as a failed-bounce candidate, so I’ll grab it for a swing trade on the short side if it cracks the $94.90 level. As with all swing trades, I’ll have my stop and target levels on the Hit List here inside the Hideout.
Bullish Watch:
MDRX, ISLN, ENDP, ZUMZ, IMAX, SGY, BKE, PVH, GNW, EMR, VMED, LVS, PPO, TRE, BYI, KMX, HOTT, CHRW
Bearish Watch:
FFIV, NTES, OSG, GMCR, BBT, AKAM, LPS, CTXS, EQIX, MTB, UTHR
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.
