My Swing Trading Approach

Three day weekend ahead of us, where I will likely take a more passive approach to trading today, while raising my stop losses on all the positions in my portfolio to protect profits.

Indicators

  • VIX – Despite a major rally yesterday, VIX was down less than 1%. Definitely watch the VIX price action going forward for clues for whether the market bears want to come back. 
  • T2108 (% of stocks trading below their 40-day moving average): 15% rally yesterday, bringing it back up to 32%. Not as much of a rally off the lows, as I would have expected. 
  • Moving averages (SPX): Broke back above the 50-day moving average, with little-to-no trouble. The 20-day MA is the only MA that remains to be tested. 
  • RELATED: Patterns to Profits: An Intro Trading Course

Industries to Watch Today

Surprisingly, Utilities led the way with a nice healthy bounce higher. Defensive was right behind it. Energy continues to be a laggard for the market. Technology still roaring and the best of the sectors right now. 
patterns to profits email

My Market Sentiment

SPX is up five straight days. One of the most spectacular bounces in years. The rally has reached the point where it has to decide whether it is going to be a dead cat bounce or whether the selling is over and new all-time highs is in the cards. 

S&P 500 Technical Analysis

swing trading strategy report 142

Current Stock Trading Portfolio Balance

  • 5 Long positions

Recent Stock Trades – See My Past Performance Here. 

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