Today’s Trading Plan: New Highs In Sight

Technical Outlook (SPX):

• Monster day for SPX yesterday as it managed to trade 1% higher and only 2 points below all-time closing highs. 
• I expect that an attempt at the all-time highs will be made today. Closing above it, while nice, isn’t absolutely necessary for today. 
• VIX dropped 9.6% down to 15.34 and broke below its recent trading range which is a good sign for the markets going forward. 
• SPX 30 minute chart managed to establish a new higher-high yesterday and remains very healthy and trendy. 
• Weekly SPX chart shows a well constructed bullish-flag breakout taking place. 
• Monthly looks equally impressive. 
• I expect at this point that SPX should be able to blow through 2100 with little problem in the days ahead. 
• Fridays of late have been heavy with news out of Greece – particularly in the afternoon – leading to heavy sell-offs each of the last two Friday. Be aware. 
• Volume has been notably weak all week long. 
• Oil remains extremely volatile and becoming more so each and every day. Very difficult to trade – as are the oil stocks. 
• 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:

• Did not close out any of my positions yesterday.
• Added two new long positions yesterday. 
• Will look to add 1-2 new positions on market strength today. 
• 50% Long / 50% cash. 
• Remain long AEO at 14.79, HON at 102.48, F at 16.12
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: