My Swing Trading Approach

I’ve become suspicious of the market rallying whenever has blow out earnings. It is easy to assume when Apple rises in a big way, that the rest fo the market will follow suit, and that will, no doubt, be true with the Nasdaq today, but there is a good chance that we see the S&P 500 struggle. Why is there that correlation? I do no know, but that has been my experience of late with Apple and the other big tech companies out there. So yeah, I’ll be showing some caution towards the market today. 

Indicators

VIX – “Morning pops just get dropped” – VIX bulls, for four straight days, have squandered morning gains. 

T2108 (% of stocks trading below their 40-day moving average) – Continues its uptrend off of the May lows. 

Moving averages: Back above the 5-day and 10-day moving averages, but a negative finish today will likely result in a 5/10 downward crossover.

Industries to Watch Today

Financials – Still the industry I am watching the closest. 

Technology should do well, just because of Apple. 

Energy could be on shaky ground with some of the profit-taking in oil of late. 

Biotech showing signs of rolling over. I avoided this yesterday, may do the same again today. 

Industrials, by and large, not looking so hot. Could also be rolling over, though there are some nice trades here and there to the long side available. 

My Market Sentiment

Didn’t trade anything yesterday, would love to get net short on this market and ride a pullback lower. But not holding out hope for it. I’ll just follow the market’s lead. 

Large caps > Small caps.

S&P 500 Technical Analysis

Current Stock Trading Portfolio Balance: 

• 1 long position, 1 short position

Recent Stock Trade Notables:

• Autodesk (ADSK): Long at $106.45, closed at $111.34 for a 4.6% profit.
• Bank of America (BAC): Long at $23.99, closed at $24.23 for a 1% profit. 
• IBB: Long at $313.18, closed at $324.25 for a 3.5% profit. 
• SPXU: Long at $14.82, closed at $14.58 for a 1.6% loss. 
• Alibaba Group (BABA): Long at $143.65, closed at $150.40 for a 4.7% profit. 
• American Airlines (AAL): Long at $49.26, closed at $51.84 for a 5.2% profit
• Intel (INTC) Short at $35.21, covered at $34.46 for a 2.1% profit. 
• Nvdia (NVDA): Long at $155.57, closed at $157.53 for a 1.3% profit. 
• IBB: Long at $298.24, closed at $303.74 for a 1.8% profit. 
• SPXU: Long at $15.68, closed at $15.25 for a 2.7% loss. 
• Whirlpool (WHR): Long at $190.46, closed at $195.19 for a 2.5% profit. 
• Ferrari (RACE): Long at $84.60, closed at $89.93 for a 6.3% profit. 
• Amazon (AMZN): Long at $964.70, closed at $1001.23 for a 3.8% profit. 
• American Airlines (AAL): Long at $49.18, closed at $50.62 for a 2.9% profit
• Alibaba Group (BABA): Long at $124.95, closed at $137.51 for a 10.1% profit. 
• Starbucks (SBUX): Long at $61.78, closed at $63.68 for a 3.1% profit.
• Western Digital (WDC): Long at $91.24, closed at $89.29 for a 2.1% loss. 
• Broadcom (AVGO): Long at $236.65, closed at $241.15 for a 2% profit.
• SPXU: Long at 16.60, closed at $16.98 for a 2.3% profit.
• JP Morgan Chase (JPM): Long at $87.84, closed at $85.98 for a 2.1% loss.
• Micron Technology (MU): Long at $29.00, closed at $28.04 for a 3.3% loss.
• Alibaba Group (BABA): Long at $116.25, closed at $124.09 for a 6.7% profit. 
• Southwest Airlines (LUV): Long at $58.35, closed at 57.23 for a 1.9% loss.  
• Broadcom (AVGO): Long at $223.63, closed at $228.65 for a 2.2% profit. 
• Workday (WDAY): Long at 86.00, closed at 90.32 for a 5% profit. 
• Univar (UNVR): Long at $30.96, closed at $32.20 for a 4% profit.
• Alibaba Group (BABA): Long at $111.91, closed at $115.48 for a 3.2% profit. 
• Redhat (RHT): Long at $85.21, closed at $87.21 foor a 2.4% profit. 
• Darling Ingredients (DAR): Long at $15.19, closed at $14.90 for a 1.9% loss. 
• Apple (AAPL): Long at $143.82, closed at $147.11 for a 2.3% profit.
• Teradyne (TER): Long at $31.16, closed at $33.03 for a 6.0% profit.
• UPRO: Long at $92.75, closed at $94.78 for a 2.2% profit. 

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