Let me start with what I want for tomorrow… a bounce off SMA50 or Fib retracement (see vid)…
If we don’t finish tomorrow somewhere within today’s range, this is probably just the beginning of a downtrend. Maybe up a little tomorrow, then continuation of the downtrend next week.. but, let’s not get ahead of ourselves. Let’s focus on tomorrow.. We’re in the middle of ‘ifs’, ‘ands’, ‘ors’, and ‘buts’ conversations.. IF we hold SMA50, IF we approach SMA20 (btw – SMA20, is resistance now). BUT the volume was high today. UG… The market is officially high on the emotional radar again.. so, let’s focus on what we can control – what we buy and how much of it we buy.
For now, let’s pick and choose some stocks to play in and out short-term. Don’t hold anything that breaks its support because not only does the larger market sell off when support is broken, individual stocks do, as well.. ESPECIALLY when folks are a little nervous. I don’t recommend swinging long or short here. A fast move on the daily demands some consolidation….and today was a big move. We need to find that consolidation to bring blood pressures down, then maybe we can load up on some swings. To reinforce my point, I traded $20k blocks of TZA in and out 8 times today and did pretty well, overall. And, most importantly, I didn’t take it home.
Am I rambling? Watch the vid and let me know if you have any questions. I’ll run a few scans tonight for some possible bounce plays tomorrow. Would like to see the market up .5%, minimum, or the bears will continue to beat the drum.
Watch this in 720p from the youtube player.. some of the indicators are hard to see.