Good evening StockBandits!
The indexes tagged new recovery highs this morning with a strong open, but the highs of the session were set shortly afterward and the market drifted lower from there. Each of the averages posted modest gains on the day, but the moves were far from impressive.
We’re still grappling with key levels. The DJIA is still within spitting distance of the prior high at 12391, the S&P 500 barely pushed past 1332 today (finally!) but remains 9 points shy of the February highs at 1344, the RUT has eclipsed its 2007 high of 856 intraday for the past two sessions but still has yet to close above it, and the NAZ continues to test 2802 intraday without success in closing above it (highs at 2840 remain unthreatened, as does the 2/22 gap which extends to 2833).
With that said, the market is holding up well after its recent run from the March lows. The pace of the advance has certainly slowed in recent days, but all things considered, the market appears to be digesting that move rather well.
The biggest thing I’m going to be watching for in the coming days is some unity among the indexes. The DJIA and RUT are hitting 52-week highs, but the NAZ and S&P 500 both have yet to break out. Eventually we’ll either see the former weaken or the latter strengthen, at which point I think we’ll be able to trade with a greater directional bias. Right now, it’s a rest phase (read: short-term indecision) and that means shortened timeframes for me on new plays.
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: COF, JEC, COV, ROVI, FRO
Swing Trading Candidates:
NONE TONIGHT
[table “20” not found /]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.
