My Swing Trading Approach
Right now, I want to increase my stop-losses and maintain flexibility with the market by not overloading my portfolio with long positions. CPI report will greatly influence whether I am going to be adding any short positions in the future.
Indicators
- VIX – Not coming down as fast as I would have expected. Still elevated at 25 and only falling a little bit at a time.
- T2108 (% of stocks trading below their 40-day moving average): 12% pop to 20, which remains oversold.
- Moving averages (SPX): Still holding the 5-day moving average from yesterday, with a potential test of the 10-day MA today.
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Industries to Watch Today
Technology, Basic Materials and Real Estate led the way yesterday. Energy really struggling to find its footing in this market still. All the other sectors are showing similar strength, over the course of this three-day bounce. 
My Market Sentiment
CPI report will dictate market action today. A very strong reading, could derail this current market rally and likely determine whether it is a legitimate bounce, or a dead cat. SPX also managed to reclaim the rising trend-line off of the February 2016 lows.
S&P 500 Technical Analysis
Current Stock Trading Portfolio Balance
- 5 Long positions
