As I’m sure you’ve already noticed, the Dow and S&P have moved considerably out of their respective ranges from last month while the NASDAQ and Russell have yet to follow the same trajectory. This is because after the market endures “scary” price contractions, investors will move back into quality first. As their confidence grows off the lows, so does their appetite for risk.
I like to lay out some things to watch each weekend to prep for the upcoming week, and here are the two things I am watching.
First, speed. Just like last week, weakness needs to be orderly.
Second, risk.
Let’s use this chart as ammo for the upcoming week. The Russell has lagged quite a bit, but is coiled up to make a move in the next couple days.
Normally at this point in the rally, the next move will generally include riskier names as these stocks have lots of catching up to do.
See you in the morning.
OA
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Good stuff as always. Am expecting the same. We’ll see
jeff love the analysis two things that give me pause here. Boj meeting on the 29th and the debt ceiling which gets hit the 4th and no one seems to be talking about. Any thoughts?
Wtw, Oprah stake. Wish I saw that coming. Will she eat all the margin?
$OSX gap down as expected. Put options from Friday should continue to do well this week. $$$$$$$
This seems to struggle under $177.
Picked up SCTY 43 weekly calls at the open
Took some Nov 45s. Downgrade cited recent insider sales; while true, looks like Musk made decent sized purchase 8/24. Am I missing something here?
Oil bulls, do not let SCO break above its upper bollinger on the hourly …
You win. You have a target for crude? Back to the 30s?
Haven’t won yet. Need a decisive weekly close below $44.00 on the front month contract. I believe we will see $20’s, bounce, and languish in the 30s. QE would delay that inevitability.
For this morning, I am not impressed with the follow through volume from the Algo volume at 9:45am for oil. Best o/n swing trade would be around 10:30 tomorrow morning. This Algo pattern reminds me of a turnaround Tuesday attempt for commodities.
There goes FIT…move thru 38 / 38.5 triggers buy signals across multiple time frames