Swing Trade Approach:

Some seasonal factors starting to hit this market strong. Yes, this is usually a bullish time for the market at this time of the year, and we are seeing nothing short of that. With the Fed blowing the top off with repo purchases, this market is likely to buck all reason and push higher. You saw FOMO hit the market hard into the close with a nice pop. Right now, you want to be raising your stops, even taking some profits off the table as the market continues its rise. Any new positions added to the portfolio should be done with the house’s money at this point, and not over extending yourself.  

Indicators

• Volatility Index (VIX) – Spent most of the day in positive territory but a market rally in the last 10 minutes pushed this index 0.6% lower on the day. 
• T2108 (% of stocks trading above their 40-day moving average): Finally starting to trend higher, but still nowhere near the levels we saw in much less bullish times like the July and September highs. 
• Moving averages (SPX): Currently trading above all the major moving averages. 
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Sectors to Watch Today

Energy not leading the way as it has of late, but did manage to break through its 200-day moving average and that, in and of itself, is quite impressive. Materials and Utilities could not muster any real gains today, but Technology held up well all day long and, along with Real Estate, managed to close at their highs of the day, and keep the market rallying. 

My Market Sentiment

At this juncture, the market simply cannot break any levels of support – small or large. All dips to any support level continues to get bought up as was seen today as SPX continues to impossibly hold the steepest of trend-lines.