As I continue to study the opening swings and the behavior that occurs in-and-around the levels what becomes clear is how important the narrative of the tape is to successfully positioning yourself intraday. The early action in the market is very telling of how the morning is likely to progress. Also, how we go into New York lunch hour and how we leave the lunch hour are vital to trading the afternoon well.
The key is objectivity in your analysis and that comes from keeping a clear and calm mind. Shifting my swing portfolio to less hands on positions like ETFs and dividend stocks is also key, because even on a quiet day of chop in the Nasdaq, having a position down 12% is a distraction.
There were some very interesting opening swings and tight congestion points this week. The daily action makes sense given our intermediate term balance. Below you will see a picture of the intermediate term balance followed by annotated daily auctions. Enjoy!
INTERMEDIATE TERM BALANCE:
MONDAY:
TUESDAY:
WEDNESDAY:
THURSDAY:
FRIDAY:
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