My Swing Trading Approach
I still think this market could easily roll over at this point. That has yet to happen, but price action of late raises a lot of concerns. If the bulls can breakout here today, I will close the short position and keep the current long positions running.
Indicators
- VIX – Gave up most of its losses yesterday to rally back to near break even. Still elevated, with high risk remaining in this market.
- T2108 (% of stocks trading below their 40-day moving average): Finished (barely) higher yesterday, but still only 28% trading above their 40-day MA. Very low considering how much this market has rallied over the last two weeks.
- Moving averages (SPX): 20-day moving average continues to reject price, as well as the 50-day moving average. Close to a 20-day/50-day downside crossover.
- RELATED: Patterns to Profits: Free Training Course
Industries to Watch Today
Energy rallied well yesterday. All of your favored sectors of late, were the ones that struggled. Utilities, Real Estate and Defensive sectors were near the top. Not your usual market leaders.
My Market Sentiment
Fourth straight day of price being rejected at the 20-day moving average and third day of rejection at the 50-day moving average. The bears continue to sell the market off each afternoon. There is a good chance of a market roll over, if this bull flag pattern can’t be broken very soon.
S&P 500 Technical Analysis
Current Stock Trading Portfolio Balance
- 4 Long positions, 1 Short position
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Welcome to Swing Trading the Stock Market Podcast!
I want you to become a better trader, and you know what? You absolutely can!
Commit these three rules to memory and to your trading:
#1: Manage the RISK ALWAYS!
#2: Keep the Losses Small
#3: Do #1 & #2 and the profits will take care of themselves.
That’s right, successful swing-trading is about managing the risk, and with Swing Trading the Stock Market podcast, I encourage you to email me (ryan@shareplanner.com) your questions, and there’s a good chance I’ll make a future podcast out of your stock market related question.
When you have a profitable trade, what do you do with the money that was earned on the swing trade? Do you re-invest it in another new position immediately, or do you cash out the gains for personal use, or perhaps even transfer it to a long-term account? In this podcast episode, Ryan tackles the question of making the next-right decision in one’s trading and resisting the urge to have to “do-something” with the profits earned.
Be sure to check out my Swing-Trading offering through SharePlanner that goes hand-in-hand with my podcast, offering all of the research, charts and technical analysis on the stock market and individual stocks, not to mention my personal watch-lists, reviews and regular updates on the most popular stocks, including the all-important big tech stocks. Check it out now at: https://www.shareplanner.com/premium-plans
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*Disclaimer: Ryan Mallory is not a financial adviser and this podcast is for entertainment purposes only. Consult your financial adviser before making any decisions.
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