Last weeks road map was to initiate a few longs near the lows last week, then follow the Russell 2000 as a sign of buyer or seller control in stocks. All signs pointed to control still being maintained by buyers.
By tomorrow or Wednesday you’ll have another rollover in the broad market. Your buyers from below will likely defend this level. Using the /TF_F, this level is 1245.
Take a look at the lower time frame of the Russell. We’ve climbed the wall of worry. They’re getting anxious up here.
Both sides of the tape get a good play this week. Play to your bias. If you play both sides, don’t get greedy.
OA
Jeff,
Do you have any fundamental ideas why copper may be turning around here?
Turning up?
Yes, especially SCCO.
So you are asking if the reason I am bullish is fundamental?
Tough to short this market. Bears continue to get steam rolled. Feel sorry for them.
Anyone else think 50 Cent was a reader of zerohedge and was short the market? Any explanation I can think of.
I hope the low of the week was today at 7:30 EST
Seems to me that there was excessive bearishness heading into the end of last week and this could spill over to a bigger rally than people are thinking. I saw things really showing extremes last week:
*CNN Fear Greed Index hit 8
*$CPCE and $CPC showed massive spikes
*Sentiment readings from those investment management surveys were off the charts bearish.
$VLTC, such a great setup. Pussed’ out on that one..
2100 resistance on the ES? Looks like a good spot to try a short..
have to say thank you Jeff for the perfect road map the last 2 weeks
I would very much like to buy into the aversion lows if the road map plays out.
Is it too late to get in on the lemon pepper trade?
I was going to double the OI in July 35 calls today for .35. Dudes started running them right as I tried to get the order in.
Hey Jeff – Just curious about the whole silver/gold inverse relationship to the market. I’ve actually noticed the opposite being the case since that May top in the S&P. Let me know if you see the same thing. Been eyeing a spot to trade gold from the short side, full disclosure. Not a big position but think it could give a nice little flush lower at some point.
This has more to do with my thinking that the dollar makes another run higher. I don’t play options and UUP isn’t exciting enough for me so I’m thinking dollar up, gold down.
OA – any thoughts on oil?
Yeah, I think it stays here for awhile after that last breakdown.
so..thinking ahead to catch a rise..at what point would you dip ur toe?
I gotta wait til the chart says something. Right now everyone wants to trade it, but it doesn’t want to go.
Grabbed some YRCW today on the dip. I made a huge score on this back in 2013 and wouldn’t mind making another one again…
ACAD news must be coming.This will go nuts if so.
WDAY finally catching a bid. Really liking TWTR down here too.
$TWTR, you guys see that quick pump and dump? Was there another buyout rumor placed out there?
Yep
Grabbed some MMYT today for the longer term holding. I don’t think it’s that cheap but it has a ton of long term potential if it can grow into something like CTRP
buying some hedge puts for tomorrows rollover per the post above
HAHAHA take ownership there buddy. I am not buying any puts here.
haha, werd. just a hedge.
$WFM seems to be stuck
That looks like a good short to me, volume pocket below. Facing increasing compettiion from costco, kroger and the other organic grocers
i was trying to shop for a few potential short ideas, so I was sorting by high price/sales ratios on finviz, and holy cow there are a lot good looking biotech setups right now (a/k/a my short search yielding almost all long ideas). Also, almost every China name looks like a ‘fake a move to make a move’, although i don’t plan to treat them necessarily as such.