My Swing Trades

Ugh – wasn’t the best of trading for me today, not that I was undisciplined by any means, but the trades didn’t go my way. Square (SQ) just feel completely out of favor, and I took a -2% loss on the trade. I also added an additional long and short position to the portfolio for tomorrow. Depending on how the overnight futures play out, I may use any morning strength to close the trade out. 

Indicators

• Volatility Index (VIX) – Still consolidating and doing absolutely nothing of interest. Any spike is getting sold off, almost immediately. There isn’t much room to drop any further as it has reached a heavy support level above 12. 
• T2108 (% of stocks trading above their 40-day moving average): The stock market is up six out of the last eight trading sessions, while the T2108 is down six straight days and six out of the last eight. Essentially, stocks under the surface are not moving higher with this market. 
• Moving averages (SPX): Trading above all major moving averages.  
• RELATED: Patterns to Profits: Training Course

Sectors to Watch Today

While the market  finished higher on the day, only three sectors finished higher. The rest were either flat or notably lower, with Real Estate and Energy leading the way lower. Healthcare has continued to consolidate for most of this month so far, but has showed some desire to break out of its eight day trading range. Utilities finally caught a bid today, after selling off initially. A lot of stocks in this sector that have pulled back and may provide some decent long setups. 

My Market Sentiment

Frustrating day that could only be realized in hindsight. The initial start in the market was promising, but as was seen last week, the gains quickly evaporated. Closing near the highs of the day, like was seen the previous two trading days, were not to be had today. I ended the day, not nearly as bullish in the short-term as I started the day. 

• 1 Long Position, 1 Short Position.

Recent Stock Trades – See My Past Performance Here.