Despite the push higher in the S&P and Dow, the Nasdaq has been lagging all session. Furthermore, breakout plays are becoming increasingly volatile, as I saw my INVN position bounce around like kernels in a popcorn machine. At the same time, financials are notably strong and we could be seeing a fluid rotation on what is seemingly a daily basis. Perhaps it is better to pick up small wins here and there instead of bowling for strikes every frame.
Nonetheless, when we look at the updated 15-minute SPY chart from yesterday it is still very hard to be too cautious or bearish just yet. Note the basing pattern breakout today, with an afternoon pullback which figures to be a bull flag. Another strong close would set up a very interesting situation for out of position shorts who have been adding all the way up into tonight’s State of the Union address.
_______________________________________
I was at that alley on NYE couple years ago, it was a blast.
nice