Same Strategy
After
an early up, the SPX
(
$SPX.X |
Quote |
Chart |
News |
PowerRating) and NDX
(
$NDX.X |
Quote |
Chart |
News |
PowerRating) turned down and went sideways from 11:45
a.m. until 3:00 p.m. before sequence traders got a good longside entry. Both the
SPX and NDX gave us a 1,2,3 lower bottom, which we call Shake and Bake, and at
the same time an RST buy entry. It was good for about 10 points on the SPX and
28 points for the NDX. Yes, folks, we were once again in the trade before any
bogus news or lagging indicator confirmation.
NYSE volume was lighter
at 1.149 billion, a volume ratio of 52, and breadth +49. It was a neutral
reading at best. The Nasdaq volume was up a bit to 1.722 billion, a volume ratio
of 56, and breadth -429. It tells us the same thing as the SPX did.
The sectors told me
little, except defense, oil service and utility stocks are reflecting the
current terrorist activity, as they all finished green.
Just as yesterday, I will
focus on intraday long setups today going into the holiday weekend. Also, I am
outlining all of the key inflection points for the major indices and sector
proxies, so I will be ready for the next bout of fear and greed, which as
always, takes things to the extreme, which means opportunity for me.
Stocks
Today
In the defense sector,
(
LMT |
Quote |
Chart |
News |
PowerRating),
(
ATK |
Quote |
Chart |
News |
PowerRating),
(
LLL |
Quote |
Chart |
News |
PowerRating) and
(
GD |
Quote |
Chart |
News |
PowerRating).
In the techs,
(
QLGC |
Quote |
Chart |
News |
PowerRating),
(
MCHP |
Quote |
Chart |
News |
PowerRating),
(
KLAC |
Quote |
Chart |
News |
PowerRating) and
(
FDC |
Quote |
Chart |
News |
PowerRating).
Also, in the oil service,
(
BHI |
Quote |
Chart |
News |
PowerRating),
(
NBR |
Quote |
Chart |
News |
PowerRating),
(
BJS |
Quote |
Chart |
News |
PowerRating),
(
NE |
Quote |
Chart |
News |
PowerRating) and
(
RIG |
Quote |
Chart |
News |
PowerRating).
In the basics,
(
DD |
Quote |
Chart |
News |
PowerRating),
(
CAT |
Quote |
Chart |
News |
PowerRating),
(
APD |
Quote |
Chart |
News |
PowerRating),
(
MMM |
Quote |
Chart |
News |
PowerRating) and
(
WY |
Quote |
Chart |
News |
PowerRating).
Other stocks:
(
SNPS |
Quote |
Chart |
News |
PowerRating),
(
JWN |
Quote |
Chart |
News |
PowerRating),
(
STJ |
Quote |
Chart |
News |
PowerRating),
(
SIAL |
Quote |
Chart |
News |
PowerRating) and
(
PCAR |
Quote |
Chart |
News |
PowerRating).
If anything sets up after
today, I will do the text tomorrow. If not, I will see you all next Tuesday.
Have a good holiday weekend.
Five-minute chart of
Wednesday’s SPX with 8-, 20-,
60- and 260-period
EMAs
Five-minute chart of
Wednesday’s NYSE TICKS