• SP 500 Market Analysis 6-12-14

Pre-market update:

  • Asian markets traded 0.4% lower.
  • European markets are trading 0.1% higher.
  • US futures are trading flat ahead of the market open. 


Economic reports due out (all times are eastern): ICSC Goldman Store Sales (7:45), Redbook (8:55), JOLTS (10), Wholesale Trade (10)

Technical Outlook (SPX):

  • For the second straight day, SPX saw a light pullback. 
  • Currently SPX is forming a bull-flag.
  • It is the first time we’ve seen consecutive days of selling since 5/14-15. 
  • Volume saw an uptick on the SPY yesterday. 
  • Strong bounce on VIX that took it up to 11.60. 
  • Watch the 10-day moving average at around 1938 today. This is often times where the dip buyers come in to provide support and push the market back higher. 
  • The rally that started on 4/14 needs to hold rising support at 1904.
  • I am using the slight bit of weakness so far to start adding new long positions to the portfolio. 
  • The market doesn’t care about the economy nor earnings. That is not what is driving it. The market only cares about what the Fed is doing to keep equities propped up. 

My Trades:

  • Sold CBS at 61.79 for a 1.4% gain. 
  • Covered MT at 15.37 for a -0.5% loss. 
  • Added one additional long position yesterday. 
  • I will look to add 1-2 new long positions today. 
  • Remain long AKAM at 54.52, HAL at 63.07, IR at 60.11, FB at 63.05.
  • 50% Long / 50% Cash
  • Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX:

SP 500 Market Analysis 6-12-14

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