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It was a mixed finish to the session as we closed out the week with nice gains. The markets were in recovery mode and it looked as if we would rally strong into the close. Then the news of 13 Russian nationals getting indicted led to some aggressive selling on the news and it turned into a tug of war between bulls and bears. I suspect the news can carry some weight especially if more news comes out surrounding the POTUS and a possible election tampering. I do think we will recover in the near term but be aware that the bears are aggressively pursuing trade entries. That should lead to some volatility but ultimately shaping out favorably for the buyers. Long Signal: HLF DECK EW  Short Signal: Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

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It sure didn’t take long to breach the 50 day SMA in the SPY / SPX. All in al, it did offer up some early resistance as the markets dropped sharply from that technical range. Then we slowly climbed back to retest that level and easily breached resistance. The markets rallied and closed above the 50 day SMA. With an open above this level with immediate support, it will show us a very bullish maneuver. You can then anticipate a possible rally back to the previous high range or what is known as the all time highs. Technical support and technical analysis has been reigning supreme these days, so I suspect that predictable behavior is back. If support fails to hold, expect a slight reversion but ultimately should be bought back up to rally. Long live the perma-Bull! Long Signal: HLF DECK EW  Short Signal: Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 98

The markets continued to rumble forward yesterday. With inflation data out and the markets initially selling off, buyers just came in and ran over all opposition. The market vitals are still pretty good and volatility has slowly dissipated. Of course the corresponding move has been higher in recent sessions. In fact, ever since we found technical support at the swing lows we haven’t slowed down. We’ve been moving higher and we will soon be approaching key technical levels that could act as resistance. I’m still not totally sold that we can make a straight line run to the all time highs, but it’s looking like it’s going to happen more and more. It’ll be interesting to see if we find any technical resistance in the SPY. That was the key market where we found the technical support and that is where I will be looking to see if we will get technical resistance at the 50 day SMA. If we close and open above this level with immediate support, that could be a clear indication that we’re going to rally back to the highs. Until then, expect that s Lowe’s will try and make one more stand. Long Signal: HLF DECK EW  Short Signal: Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 89

The markets consolidated throughout the session. Compared to recent trading sessions, this was outright boring to say the least. However, it wasn’t a surprised we finished up for the day. The COMP led the way and held their ground the entire session. It seems money continues to cycle into tech names and the large caps are making bullish runs. Expect the indoor into tech to continue and hopefully we can rally like no other. The upside is actually decent and I know buyers are chomping at their bit to capture some of the love being shown in COMP names. Get it… “love”. It’s not like we can’t go down either but we are seeing the love going to the buy side so far this week. Long Signal: HLF DECK EW  Short Signal: Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 90

It was another wide ranging trading session yesterday. We started the week off with gains but also active sellers trying to bring the markets down. Will we see Turnaround Tuesday for the Bears?! That has to be on the mind of buyers as they are a little apprehensive on the buy side. We did see decent volume flow into the markets but no where near the average of last week. I still think we could see some upward movement in the upcoming week but I am watching the markets very closely. We must understand that sellers are chomping at the bit and will be trying to drive the markets lower. I will buy with confidence but will also look for any reversion sells I can take. Being hedged or buying longer term would be the way to go for now. Long Signal: HLF DECK EW  Short Signal: Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 96

A key indicator came into play in a major way Friday. No it wasn’t some advanced biometric alto that new where the bottom was going to be on Friday. It was one of the most common and well known technical indicators that is available and it was something widely watched by the big money traders. It was the 200 SMA or Simple Moving Average. This indicator will take the closing price and average it out based on the dedicated time frame. In this case it was the last 200 closing prices on the daily chart. And this indicator on the SPX/SPX and others led to a crazy rally. Just like how we dropped with velocity, we rallied like Elon musk launching a SpaceX rocket ship. Maybe I’m reading too much into all of this. It was the end of the week and sellers had to be exhausted. Yes that is a part of that. Sellers clearly had this level in mind as their target and that married to the same level that buyers had targeted. It was a perfect storm to say the least. That is also why we got the rejection we did and it could be our floor. A defined floor and that is crucial in this volatile market. That a key price level held like the floor it was thought to be in this wild and volatile environment. I can’t speak to the strength on that level on Friday. Every other possible support level above this price range was cut through like a hot knife through room temperature butter. Yet the 200 day SMA held like no other. The power of the market auction process and targeted levels of interest. The subsequent reaction and thought process that follows. This is how traders get that partial edge. It’s the same for predictive behavior based on recent history combined with market experience. This is what we teach daily and how to help transform clients. This is how we add onto your success and help clients who struggle in the markets. Let’s see if the bounce leads to much more. I expect a carryover into today. It wouldn’t surprise me if we rally all week. I won’t suggest that but that is one heck of a bounce off the 200 day SMA. I know sellers remain lurking so I would need buyers to completely rollover the sellers. Literally demoralize them to the point where they won’t even bother trying. Until that happens, just know sellers are lurking and ready. Do not underestimate the power of the bears. Just remember what happened last week in case you’re not sure. For now, expect the bulls to try and run. Long Signal: HLF DECK EW  Short Signal: EDU Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 99

What. A. Day. We officially hit the 10% level aka correction territory. Once again it was a late day sell off that did not stop until we closed down over -1000 points in the DJI. To say sellers were in control was an understatement. Buyers tried to lift the markets. Stocks tried its best to recover but instead we saw blowouts. The markets may look to rally here but will now look to fade that reversion. I am not a bear but I am seeing bearish tendencies and chart patterns clearly. So if you can’t beat em, you join them. We will eventually correct this sell off and rally back but for now, you must consider some short signals and hedges on your portfolio. The bears have awoke now and are hungry. Just like how bears will tear apart their food, it is now a feeding frenzy in the markets. Do not be fearful but be ready to trade within the market sentiment. When volatility is in play, your thoughts should surround short opportunities. Clearly that has been the catalyst this week and we are not slowing down. I expect the 200 day SMA to be the target in the DIA, SPY and QQQ in the near term. With the way these markets have moved, it’s possible we can see that target hit in one day. If you’re looking to be a buyer or seller, proceed with caution. Risk as ramped up big time and these markets are not for the faint of heart. Long Signal: HLF DECK EW  Short Signal: EDU Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 106

Which way will the markets go?!?! The answer to that is… yes. I kid but frankly you can answer up or down and both will be correct. We still have a good amount of volatility and the markets are moving. While the end result doesn’t really say much in context of the market action yesterday, we had a huge trading range of over 500 points. So when we say huge swings took place, that should give you some insight to how large the swings were. I don’t think we will slow down too much today. Maybe we will condense and trading in a 300 point range today. I still think we will be moving all over the place and it will be difficult to establish a direction for the markets. For the time being, expect the extreme swings to continue. If this volatility is too much to deal with, I would stay on the sideline until things settle. These market conditions are not for the faint of heart. Open Position: Long Signal: HLF DECK RHT FB EW  Short Signal: EDU Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 111

It was Turnaround Tuesday to say the least. Markets shaved off a little more than 50% of the losses incurred on the historic drop but still a far cry from Friday’s highs. I’m not set on a full blown rally but clearly we can catch one at any moment. I’m expecting more back and forth trading with the ranges condensing more and more until we can establish a direction. With the volatility in play, we might have to look much more shorter term on trading than placing bets. I’m learning the hard way regarding market timing. We called a signal in WYNN that was profitable by a few points but then the news hit. It was the same with our long signal in LULU. While dealing with news in stocks is a part of trading, the timing of these two signals just plain sucked. Looking for the markets to confuse investors more but a small pullback might be the play today. Open Position: Long Signal: HLF LULU DECK RHT FB EW  Short Signal: ROKU EDU WYNN Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

0 104

The markets had a historical day yesterday and it wasn’t one we usually speak. It was the largest drop in the DJI. We almost had to halt trading due to the swift and extended drop. While we have seen volatility perk up in recent sessions, yesterday set off fire alarms and panic. Sure some are blaming it all on algorithm trading. That played a major role in the drop. However, there definitely was panic at one point in the markets. The squeeze on buyers who were either immediately blown out of their positions or those that took a huge loss and exited on their own. Then we saw the bounce and it was strong and violent. The markets almost rallied back as fast as it dropped. There is no rhyme or reason to the sell off. It was just time for a pullback. The overnight session had a huge swing lower but has recovered nicely so far. It’s hard to expect what will take place in the markets when things happen that are historical. I do expect a recovery and by gosh it could happen just as swift as we dropped. I suspect it will be sooner than later. Fidelity reported their brokerage service saw more aggressive buying than panic closings. People are not afraid even when we face historical losses. The Perma Bull remains strong and willing. Open Position: Long Signal: HLF LULU DECK RHT Short Signal: ROKU EDU Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV

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