My Swing Trading Approach

I expect us to see a rally come forth at some point this week that will be hard and fast. However, while playing it is okay, committing too much capital to it is a bad thing. Be careful as it may not take place exactly when you expect. Stay nimble and light. 

Indicators

  • VIX – 28.5% move on Friday and finished at 17.31 – the highest close since 11/8/16. 
  • T2108 (% of stocks trading below their 40-day moving average): A massive spike lower of 27%. Closed the day at 38%. Lowest close since 8/29/17.
  • Moving averages (SPX): 5/10-day MA cross over on Friday, and the 20-day moving average broken. The 50-day MA is now back in play. 
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Industries to Watch Today

Energy, Basic Materials and Technology was the hardest hit. Every industry is showing noticable technical damage. Consumer Cyclical is holding up the best. 
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My Market Sentiment

I suspect we’ll see a bounce here real soon. Dip buying dies a slow death, and not just on a moment’s notice. There is a lot of volatility in this market right now, so be prepared to see some wild price action. 

S&P 500 Technical Analysis

swing trading strategy report 133

Current Stock Trading Portfolio Balance

  • 4 long positions

Recent Stock Trades – See My Past Performance Here. 

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