Long Tractor Supply (TSCO)
Long Targa Resources Partners (NGLS)Read more...
The T2108 is an indicator that I like to look at daily for gauging market direction and it has lately been on fire!
At the close today, 58% of stocks will now be trading above their 40-day moving average. That is the highest reading this indicator has seen since 4/28 of this year.
The indicator has finished higher seven straight days too...
And 23% higher today alone.
Seven days ago, only 12% of stocks were trading above their 40-day moving average!
That is amazing when you think about it.
In fact the surge in the T2108 has me thinking differently about this current bounce, that it isn't about it being a dead cat bounce, but a very legitimate probability that the market continues to rally through year-end. This rally has all the markets of a rally like the one we saw this time last year. In fact both rallies started at the 12% to 13% range and ran stocks higher and nearly unabated.
Over the course of 1.5 months the SPX last year ran over 250 points before finally seeing profit taking of any kind.
So buckle up - There just might be more to come!
Here's the T2108:Read more...
The selling in the last two days has felt a whole lot worse for the market than the indices would suggest.
Your market leaders, in general, are taking a thrashing, while oil and commodities continue to rally. On the SharePlanner Reversal Indicator, it still suggests that this market has more upside left to it. After rallying 120 points off of the recent lows, the market is attempting to digest the gains, so when that happens some digestion of the current gains is likely to ensue.
Technically SPX chart is holding up for the most part. I am a bit concerned that despite the strong market open there was a hard +20 point reversal the followed to the downside and a rejection at the double bottom confirmation level of 1997. But I still need to see how the rest of the day plays out first.
Here's the SPRI:Read more...
Long Zillow Group (ZG)
Long Xylem (XYL)Read more...
I am cautious about adding any short positions to my portfolio at this juncture.
Yes, we have rallied 120 points off of SPX's lows, but it also comes on the heals of a potential double bottom, and after two months of heavy selling. When you get these kinds of reversals, they usually mark a very significant bottom, for the months to come that allows for the bulls to rally from and push the market even higher.
Unless something notably changes with this market that brings about new technical damage to the indices, I am going to hold off adding any new short positions to the portfolio.
But if I were to add some short positions....well... they'd come from the list below:
Here's the bearish watch-list:Read more...
Here's an example of one member's portfolio today in the SharePlanner Splash Zone, achieved by trading my real-time trade alerts:
To say the least, it was another solid day in the SharePlanner Splash Zone. In fact, he didn't have to place a single one of these trades. It was all done automatically through his brokerage at Ditto Trade which comes free with your membership to the SharePlanner Splash Zone.
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