Today’s Trading Plan: Pop or Give It Up

Technical Outlook:

• Despite the need for some follow through and a push away from the 1947 level that was broken on Thursday, SPX instead took price right back to a shade above the 1947 level and cast some doubt on the current market rally and whether the price break the day prior was actually legitimate or a mere head-fake. 
• The 5 day and 50 day moving average held up on Friday. 
• SPY volume was below average and below what was seen during the rally on Thursday. 
• The case could be made that Friday’s price action on the 30 minute chart is simply creating nothing more than a bull flag pattern. 
• VIX popped 3.6% on Friday but still below the 20 pivot point. 
• T2108 held its own on Friday rising 8.9% and closing at 59.27 – a level that hasn’t been seen since the market topped out in early November. 
• Short-term the market is no doubt overbought, but that is no reason to start shorting stocks heavily but it is a good reason to keep a careful eye on the market. 
• Sell off in oil on Friday wasn’t so great for the bulls and was on above average volume that creates some doubt on its break of the downtrend from Thursday. 
• This market is showing the signs of a rally similar to that of October 2015. Very strong and unrelenting and goes a lot higher than anyone expects. A move to somewhere in between 1990 and 2040 would be such a move. 

My Trades:

• Closed PII at $89.00 on Friday for a 2.0% profit. 
• Closed out FB at $107.69 on Friday for a 1.4% profit. 
• Closed out AAPL at $97.20 on Friday for a 1.2% profit. 
• Did not add any new swing-trades to the portfolio. 
• Currently 100% Cash
• Will look to add 1-2 new positions and follow the market’s direction 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: