Economic News will Dominate the Rest of the Week
The rest of the week will be dominated by economic news with the Federal Open Market Committee meeting, the first look at Q2 GDP, and the monthly employment situation report all coming over the next four days. Today the market is neutral. It was good to see yesterday’s intraday recovery and with volatility picking up […]
Would Be Best to See this Pullback Last a Few Days
In spite of Friday’s pullback, the market is barely oversold (in fact QQQ is neutral). With volatility rising it would be best to see this pullback last a few days in order to continue to lessen the excessive bullishness that’s out there. For a free trial to the Daily Battle Plan, click here!
We’d Expect to See a Short-Term Pullback
No change from yesterday. The market has now gone a week since a pullback or being oversold so we’d expect to see a short term pullback within a day or so. For a free trial to the Daily Battle Plan, click here!
Many Momentum Stocks have begun their Ascent Again
The market remains slightly overbought today. Volatility has moved back down and many of the momentum stocks which rose to silly levels in February and then crashed have begun their ascent again (a few like SFUN and POWR rose over 10% yesterday). Overall though nothing has changed and any pullbacks should continue to be viewed […]
Volatility is Beginning to Move Back Down
The market is slightly overbought today. Volatility is beginning to move back down and any pullbacks should continue to be viewed as short-term buying opportunities. For a free trial to the Daily Battle Plan, click here!
Every Pullback/Bear Market Starts the Same Way
There’s been an obvious change in the market’s behavior over the past week with volatility finally showing some life. Here’s the reality; every pullback/bear market starts the same way; it starts with volatility rising. But not every rise in volatility leads to a pullback/bear market. From a historical VIX level, volatility is still extremely low. […]
Trading Symmetry, Sequence and Probability
The SPX made a 7/3 pre-holiday marked up new cycle high at 1985.59, followed by a decline to 1952.86 last Thursday, which was accelerated by the Portugal Bank nonsense relative to the US market. However, it provided intraday, an extended volatility trading opportunity relative to the significant SPX discounted NYSE opening, and this commentary will […]
Prices will be Dictated Early this Week by Yellen
The market hasn’t moved more than 1% in 3 months. To put in perspective how rare this is, the last time it occurred was in 1995. The market is back in neutral territory and prices will be dictated early this week by Fed Chairwomen Yellen’s semi-annual testimony. Obviously any perceived change of tone will move […]
New Book – High Probability Trading for International ETFs
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Everyone Could be Put All-In
Wow. If there were any short sellers left, they threw in the towel yesterday. Today may turn out to be the most interesting day of the month. The market is now in short-term neutral territory. After yesterdays intraday reversal, a move higher during the day today could put everyone all-in. Today’s Potential Opportunities on Further […]
Expect Prices to Continue to Trend Higher
Yesterday was a good reaction from slightly oversold conditions and the market is now in neutral territory. Much of the movement over the next few weeks will be dictated by earnings. If nothing out of the ordinary occurs, expect prices to continue to trend higher. For a free trial to the Daily Battle Plan, click […]
Excessive Short-Term Exuberance Removed
In spite of the two-day pullback, the overall market is not extremely oversold. Remember, this pullback is occurring after over 20% of the stocks in the S&P 500 had 2-period RS reading above 99. And QQQ had an RSI reading above 99. All the past two days has done is remove that excessive short-term exuberance. […]