Current Long Positions (stop-losses in parentheses): TICC (10.28), HRS (45.34), RAH (60.75), MENT (11.08), EQY (16.75), PH (78.95)

Current Short Positions (stop-losses in parentheses): ADBE (28.55), DTV (42.55), EQR (51.15), VPRT (42.37), TIE (17.84), ITT (48.01) GLAD (11.54)

BIAS: Neutral

Economic Reports Due Out (Times are EST): None

My Observations and What to Expect:

  • Futures are mixed, and well off their overnight highs, which saw the S&P up close to 1% at one point. 
  • Asian markets closed with a decent amount of gains, while European markets are showing a significant amount of losses on the day. 
  • Friday’s market action put in a bearish harami candle pattern. 
  • Despite the wild price swings of late, the market continues to consolidate within a narrowing range. 
  • S&P remains within the October consolidation range. 
  • Friday’s sell-off represents another failed attempt by the bulls to rally the market beyond 1200. 
  • 50-day moving average is very much in play now for the bears.
  • Even more important than the 50-day moving average is the 1173 level on the S&P, which a break of it, would signal a lower-low in the markets, thereby killing the upward trend line coming off of the August lows. 
  • The bulls must continue to focus its efforts on breaking the 1200 point price level. 

Here Are The Actions I Will Be Taking:

  • At some point today, will add two new positions to the portfolio (1 long, 1 short). 
  • Stop losses remain as is. 
  • No new positions added on Friday. 
  • Should see some stop-losses of mine, get tightened today. 
  • Follow me in the SharePlanner Chat-Room today for all my live trades and ideas.