Trade Setups

This is the second day in a row for me where I have not placed any new trades.  The bulls are holding the 50-day moving average on SPX, but they aren’t doing much of anything else. 

The bulls fell of their rockers today, but as has been seen many times more in the past, the dip buyers tend to come in and save the day at the last second.  So obviously, that is what I am looking for here today. Getting short at the open didn’t have a good risk reward

Three days in a row now, the bears have tried to push the market lower.  And three days in a row, the Dip Buyers stepped in and refused to allow them that simple, overdue courtesy. 

The bulls for a second straight day has managed to rally from +20 points down to near break even.  While the trade war jitters keeps hitting the overnight price action, once the market opens, the dip buyers are in full force, gobbling up as many securities they can get their hands on. 

The market is looking at another day of insignificance.  The summer malaise is kicking in, and the market is kicking back and taking a siesta. 

They call this the “Week from Hell” – to me it is just another week of trading.  Sure you have the FOMC, ECB and BOJ making announcements this week, plus continued tariff threats with China, and a Kim Summit. But who cares. I am following the charts and they will continue to be my guide

Bears are certainly losing their grip on this market here, and the bulls are running in a low volume trading environment.  Target those trade setups that offer above average volume. In this kind of market where the interest is low, spotting stocks with momentum and the interest of the strength is quite easy do. 

The bulls are trying to make it a rare 2-day rally.  Or at least such an event has been non existent for the past three weeks, so any kind of consistency, even if it lasts only a few days, is welcomed. 

I’ve been watching Micron (MU) all day long to consider where this stock might bounce at for an ideal swing-trade.  So far I have yet to pull the trigger on it. Though, had it bounced off of that trend-line off of the May 3rd lows, the opportunity would have been more than ideal. But for

The market is recovering nicely today. I was forced out of my one lone short position I carried over from yesterday.