Short Setups To Follow on an SPX Break of the 200-Day Moving Average

Where has “Turnaround Tuesday” Gone off to? 

Geesh! Just when you thought that there was something holy and sacred in the market, you come to find out that even Turn Around Tuesdays are not immune to the wiles of the market coyote. 

Three out of the last four tradings sessions have been down on Tuesdays so I guess that theory can be trashed. 

Honestly though, I never paid much attention to those pie-in-the-sky theories that tries to boil the market down to some trivial matter. At the end of the day all that matters is price action and that is what I consume myself with. 

Today the market isn’t doing anybody much of a favor. It has spent most of the day in the red, but with no real aggression. As for my trading, I am doing quite alright with Facebook (FB) leading the charge higher and offsetting the losses in some other names that are being affected by the market malaise today .

Below you will find my current crop of short setups that I am watching but definitely not trading any of them at the moment. I’m tilted to the long side and expect that the market will make a bigger move in the days that follow. As a result, I really don’t want to be caught short of this market here, instead I’d rather have the bears show me first that they mean business, and the first order of business would be for them to break and close below the 200-day moving average on SPX. 

Then we can start talking about shorting some stocks.