• SharePlanner Reversal Indicator Daily 7-24-14

Pre-market update:

  • Asian markets traded 0.1% higher.
  • European markets are trading 0.5% higher.
  • US futures are trading 0.2% higher ahead of the market open. 


Economic reports due out (all times are eastern): Jobless Claims (8:30), PMI Manufacturing Index Flash (9:45), New Home Sales (10), EIA Natural Gas Report (10:30), Kansas City Fed Manufacturing Index (11)

Technical Outlook (SPX):

  • SPX is breaking out of the 1% box range that it had previously been stuck in since July 1st. 
  • A very real chance SPX makes a run for 2000. 
  • Very possible we see another similar run like what we saw when SPX broke out of consolidation on 5/23 and ran hard until 6/9. 
  • Volume has been relatively flat so far this week. Weak market participation. 
  • VIX is falling hard as it dropped another 5.8% yesterday to 11.52.
  • 30-minute SPX chart shows a nice breakout of the recent trading range. 
  • Very little reason to be bearish in this market. SPX is once again establishing new highs, and advancing higher in an orderly manner. 
  • Very little in the way of planned news events which, if there is no negative impact surprises, it should bode well for stocks going forward. 
  • Everything looks solid and in place for this market to continue pushing higher in the days ahead. 
  • If the bears are going to take control of the market they need to push price below the trend-line at 1964 (see chart below).
  • 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:

  • Added one new position yesterday. 
  • Closed out PCAR at 65.91 for a 0.7% loss. 
  • Continuing to keep losses small, and now enter today with a portfolio where all seven positions are positive with excellent charts. 
  • Will look to add 1-2 new long positions today. 
  • Remain long KATE at $38.10, BKD at $35.28, IPG at 19.54, EBAY at 51.75, MS at 32.88, MRO at 40.16.
  • 70% Long / 30% Cash
  • Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX:

SharePlanner Reversal Indicator Daily 7-24-14

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