_______________
In my estimation, it is now worth putting some capital at risk in this market. Even if we do not close at the highs today, the type of candle that is likely to be printed in many indices and stocks is a bullish one, especially after the steep downtrend we have seen. As I have said before, a market like this requires you to either sit out, or make some adjustments.
Taking risk is part of being a trader. Risk is everywhere and is involved with everything, just look at 2008, and then what followed in 2009. Being a contrarian is not a regular part of style. However, there are certain times when the risk/reward is too favorable to pass up, at least for the next few days. I believe this is one of those times.
I put 40% of my capital back in to the market on the long side. I am still 60% cash. All trades documented inside The PPT.
(These are trading ideas only. Please use stop losses and do your own due diligence.)
LONG–Full positions
- $NTAP
- $AAP (h/t alphadawgg)
- $NR
- $CRM
- $LULU
I decided to sit out, seeing EU and Asian market keep tanking, prus tomorrow’s NFP. At least I will be able to have a relaxed long weekend.
How far do you think we rally or S&P target ? I will wait and ride back down.
20 day m.a. on the SPX which is at 1080 and turning down.
Thanks Chess ! You are my black belt master ! I am thinking EU release the result of their Bank stress test mid July, I believe, so till then the market will up? and then down. Ah,,,,,I just love to think any scenario….. Anyway, have great 4th July weekend!
You too, Tea. Thanks for reading.
Chess,
I’m with you. For tomorrow’s U.E. number Econ 101 says you can’t be counted if you’re not looking, or collecting benefits. Funny how Congress can’t approve benes till at least after the break. I think the census taker number is too easy to fudge/excuse. That coupled with thin summer trade makes this market too easy to rip higher on short squeeze fu*kery. Thanks again for the goods. I liked ATPG and DKS today.
Thanks for reading. I agree about Congress.
The NYSE % Adv/Decliners has two gaps not far from today’s lows. I would expect the market to fill those gaps (perhaps on the UE report) before moving higher. If the market moves higher first then we’re not quite at the bottom for a comfortable long entry. These gaps are ALWAYS filled next day or very soon thereafter. Market = SPY BTW, these are daytrading gaps, but can keep you from entering too soon!
right–still have 60% cash to deploy if that materializes
I have been browsing on-line greater than 3 hours today, but I by no means located any interesting post like yours. It is pretty worth enough for me. In my watch, if all webmasters and bloggers made excellent content material material as you probably did, the net will possibly be much more useful than ever before.
Pictures are truly good source of teaching instead of wording, its my know-how, what would you say?
Its such as you read my mind! You appear to understand a lot about this, like you wrote the e-book in it or something. I believe that you simply could do with a few % to force the message house a bit, however other than that, this is wonderful blog. A great read. I’ll certainly be back.