My Swing Trading Approach

The market is rallying following mid-term election results that give the United States a divided government with the House going back to the Democrats. This was pretty much priced in over the past month, and now, should the early morning strength hold, I’ll look to add 1-2 new positions to the portfolio today. 

Tuesday’s Swing-Trade Ideas:

Take a look at three trading ideas to prep you for the trading session.

Get all of my trades that I make real-time by jumping in the Swing-Trading Splash Zone and start making some profits for yourself! 

Long FedEx (FDX)

fdx 1 swing trading strategy

Long NetEase (NTES)

ntes swing trading strategy

RELATED: My Patterns to Profits Training Course

Short California Resources (CRC)

crc swing trading strategy

Indicators

  • Volatility Index (VIX) – VIX remains elevated, but little movement over the last three trading sessions. A rally in the market today could threaten the 10/17 lows. 
  • T2108 (% of stocks trading above their 40-day moving average): Strength in the T2108 has been quite impressive since the lows were established last month. There has been no sign of it letting up, and showing more improvement under the surface than what the indices are leading us to believe. 
  • Moving averages (SPX): Big day for the bulls as the 20-day moving average was broken in a dramatic way. Look for a test of the 200-day MA today. 
  • RELATED: Patterns to Profits: Training Course

Sectors to Watch Today

First time in a while that I’ve seen Industrials have led the way higher for the bulls. Staples continues to surge and while Technology finished higher yesterday, it hasn’t recovered a ton off of the 10/29 lows. Financials have seen one of its best rallies of the year, and poised to test the 50-day moving average. Discretionary showing a potential inverse head and shoulders pattern. 
patterns to profits email

My Market Sentiment

SPX is getting near short-term overbought territory, which hasn’t been seen since late September. I am interested in seeing whether the bulls can break and hold the 200-day moving average. 

S&P 500 Technical Analysis

swing trading strategy report 322

Current Stock Trading Portfolio Balance

  • 1 Long Position

Recent Stock Trades – See My Past Performance Here. 

You Might Like

  • swing trading strategies in market corrections

    Trading Market Corrections with Swing Trading Strategies

  • Short-term bounce

    The Anatomy of a Short-Term Bounce

  • January Barometer: As January goes, so goes the year.

    January Barometer: As January Goes