Serious Business

We saw another gap down this morning, with dip-buyers giving it a try for a red-to-green reversal as we speak.

Small caps are outperforming again, albeit still in the red. And Netflix is getting just as decimated as it was last night.

I am still sitting in just about all cash, with no equity longs or shorts. If bulls lose they grip on the bounce today I may make a move with a cowboy short or two, pressing for a crash.

Otherwise, we have a sloppy bounce attempt on our hands where cash and patience are kings.

Stay cool and don’t let this market put you on tilt.

If you are looking for some (quick) support buys here, a good algorithm screen to have, courtesy of The PPT, is one I made called “12631 Quick Bounce Plays.”

In the screen, I am looking to isolate stocks with positive daily Hybrid PPT scores, but negative weekly ones.

Thus, they are ripe for a quick bounce as the momentum seems to be turning, if only for a bit. I also screen for PPT Relative Strength scores, as well as volume and % from 50 day moving average.

Members please click here to view and save the screen

Here are the readings as of Wednesday’s close. Remember, we are talking about short-term flips here, not high quality, multi-week swings. Keep those stop-losses in place.

(Click on image to enlarge)

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For you night owls out there, feel free to drop me any market/trading-related topics you would like me to cover in a weekend video.

In addition, anything else about the current market, feel free to drop below.

Speak your mind, night owls.

With futures pointing to a bounce, it will be interesting to see if bulls can finally pull off the snapback rally which many have been anticipating for weeks now.

Should the S&P 500 Index lose the midpoint of Wednesday’s range, though, below 1847 or so, I expect to see another round of panicky selling as dip-buyers find themselves trapped. If that does not happen, I assume we are in bounce-back mode for a few days before I will consider fresh short entries.

A few stocks which held up well during the correction: AGIO ALNY PANW PCRX ZOES. 

Drop me your top tickers overnight.

If you enjoy my blog posts and videos, then I would encourage you to please click on this 12631 hyperlink for more details about joining our great team of traders at a very reasonable price. 12631 is a trading service which @RaginCajun and I direct here at iBankCoin.

In addition, please see the top of this video for details about attending our iBC Investors Conference this November.

Enjoy tonight’s video, and enjoy your evening. 

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“Bud… Bud I like you. Just remember something. Man looks in the abyss, there’s nothing staring back at him. At that moment, man finds his character. And that is what keeps him out of the abyss…”

The market looked in the abyss today and found some buyers at the lows.

Good enough for a tradable bounce? Or another trap?

Stick around for my video market recap after the bell for more analysis.