Greetings from the iBankCoin labs watchtower. At over 15,000 vertical feet of elevation, the observation deck allows for spectacular views of the financial landscape, and with it an honest conception for world affairs.
The market tipped its hand Wednesday, just enough for the supercomputers inside Exodus to alert members of an impending blitzkrieg from the bulls. It looks like bullish dominance will continue to assert itself next week—but perhaps in a more subtle way.
There is likely to be more action in the momentum space than the indices. When we float around all-time highs, there usually isn’t much opportunity for a fella like me to earn money. My market profile fire levels are are left below, and the rotations are often small and slow.
If I needed to engage the market next week, intra-day, to extract moneys, my attention would be on the Momentum screen inside Exodus. I would refresh it at 11am and again at 1:30pm and look for names setting up a nice pullback after an initial surge. I would buy said pullback, ride it back to intra-day highs (god willing) then GTFO and move to the next one.
The best part about building your own model using quality data, like the raw futures data I pipe in from IQFeed and the elegant algorithms inside Exodus, is you trust it and know when to act. There is no better approach to engaging the market than a consistently objective one.
Most people want to be told what to do. Unfortunately, they depend on others. I depend on robots. My robots. It’s better that way.
If you are good to your robots, they will be good to you. Keep them calibrated and oiled. Offer them zero time off but also a comfortable place to call home and appreciation for their service.
Despite my headline boldly claiming ‘no reason for concern’ there is one. The Russell 2000 began to turn lower at a curious level last week. It is the weakest looking index. Keep an eye on it this week to see if it can lead lower.
Otherwise, all is well in 2017. A new leadership shall be ushered in soon, one that promises to make the USA stronger than ever, and investors seem emboldened by these prospects. Yes, the rally is long-in-tooth, but the music is still playing—so keep dancing—monkey.
Exodus members, the 113th Edition of Strategy Session is published. Go check it out now. Three days hence its relevance is less. By Friday, practically useless. Now is when to read it. Go.