Today’s Trading Plan: Steadily Trending

Technical Outlook (SPX):

• Additional follow through yesterday on SPX that pushed price just below 2100 at the close. 
• Volume on SPY remains very light. 
• SPX 30 minute chart exhibits a very strong upward trending market that has yet to show any signs of breaking. 
• Despite the recent rallying over the past two weeks, the T2108 remains flat during the same period. Despite all-time highs being reached, only 63% of stocks are trading above their 40-day moving average which indicates that this rally hasn’t been quite the broad-base move as it might appear on the surface. 
• VIX was up 7.6% yesterday despite a market that finished in positive territory. 
• Greece news continues to dominate the headlines and can create market reversal and spikes without notice. 
• FOMC Minutes today – this also has the opportunity to create some volatility for the market today. 
• SPX is caught in a rising channel, that has very clear markings as seen in the chart below. A strong rally today, would likely see a struggle to get past 2120. 
• Russell breakout out perfectly above the box range it has been in for over a year now. 
• Weekly SPX chart shows a well constructed bullish-flag breakout taking place. 
• Monthly looks equally impressive. 
• 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:

• Closed out F at $16.16 yesterday for a 0.3% gain. 
• Added two new positions yesterday. 
• Will look to add 1-2 new positions on market strength today. 
• 60% Long / 40% cash. 
• Remain long HON at 102.48, ADBE at 73.66, MA at 86.29, MSFT at 43.03.
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: