A very strong move in the market today. The NASDAQ chart did break out from its consolidation pattern, but to the upside, which I didn’t expect. Although it’s not uncommon for the market to move higher before a holiday, it’s often on weaker volume. Today’s move was on strong volume; a very bullish move.
And all five stocks in my watchlist triggered today. Although none made huge moves, they all looked good and could move higher still. Let’s look at those:
I got in this one a bit earlier than the entry in my Watchlist and really like this one longer term.
ANV and EXXI are recent triggers that I’ve hung on to. Both did well today, but ANV is starting to look tired.
Some other recent triggers did well today. Too bad I day traded AWI; seemed like a good idea at the time.
It was not quite a perfect day for my account though. I had bought QID last week when it triggered this blue line. I had held onto it as a hedge, which I don’t like doing. I was stopped out of this at the open. It was a small position, and probably the last time I hold an ultra short ETF for more than a single day.
Here’s a reliable indicator: When I start getting bearish enough that I consider shorting or buying inverse ETF’s, you can be sure a rally is coming. I am well aware of this, which is why I don’t play the short side, I’m not good at it.
Speaking of reliable indicators, I posted charts of NYMO and VXX earlier this week. Both seemed to indicate upside in the market. Those have worked out. NYMO is pointing to continued strength in the market.
Price action in VXX also indicates more strength in the market, since it usually moves inversely to the market. Its indicators could be firming up though.
I am just planning to manage my current holdings, and not very interested in taking new positions as we head into Labor Day weekend. I only plan to watch these 2 charts.
The market looked pretty good in the afternoon, but couldn’t hold on. The NASDAQ looks like its consolidating, getting ready for the next move.
I had 3 triggers today, but none moved strongly and two pulled back. However, I am holding on to two of these, hoping for a better move. The first one is NR.
SXCI also triggered, but I day traded this one for a small gain.
Still holding TIBX.
I am still holding some ANV as well. Gold stocks have been on the move, although this one could be about done.
TSL was also a recent trigger that had a good day.
No new charts, but the ones in the watchlist are still looking good. Still keeping these short term; will likely adjust the buy point in RIG.
Good luck and good trading!
The market grinded lower today. Although I found some reasons to be bullish in last nights post, there is nothing bullish in the charts of the indexes. They all look to be consolidating before making another move lower.
We are about to enter what is historically terrible weeks for the market. And if history is any guide, that will be followed some of the best moves of the year. I am now looking forward to that.
This is a holiday week, with the US market being close on Monday. This week will be a low volume affair, with perhaps some movement to the upside on air. Even with the indexes looking terrible, I have new charts to add to my Watchlist, but I am not looking for home runs in these. Just quick trades for a percent or two, maybe more if the market is acting frisky.
Good luck and good trading!
