Trading Block

Trading Notes: Just as has been the case most of this week, the volume is likely to be very thin, and the price range of the indices likely to be extremely narrow again today. Yesterday saw the indices hover around breakeven for most of the day, and I'm guessing there'll be more of the same

Trading Notes: I am back from the Christmas break. As expected we got incredibly light volume today, and I expect more of that the rest of this week. The sell-off that happened a week ago, sending the market lower by over 1% did help to alleviate the overbought conditions for a moment, but the market

Trading Notes: Thursday's 100 point sell-off in 2 hours was certainly an eye opener and one worth considering a potential short position on if the market saw follow through the following day. Early on, I got enough to put on a bearish position against SPY with SDS. However, the bulls soon thereafter triggered their 0DTE

Trading Notes: Stocks saw their worst bout of selling in over three months yesterday with the market wiping out $600B of equity in just the last two hours of trading. This morning the market is already attempting to run it back up. Yes the intraday dip buying may have failed for the longs yesterday, but

Trading Notes: With volume getting lighter and lighter ahead of the Christmas holiday, the price action is likely to get much more boring. With yesterday really being about the first hour of trading and the last five minutes of trading. Everything in between was a chop and a grind. There's plenty of warning signs from FDX

Trading Notes: With the market as overextended as it has been of late, notable divergences are emerging and one of the more obvious ones has been with the VIX in relation to the Nasdaq. For almost four weeks the VIX has relatively remained unchanged despite the market pushing higher. Similar behavior was seen in late

Trading Notes: Some weakness on Friday did little to cool off the market at all, and the Nasdaq still remained higher on the day and finishing the day at new all-time closing highs. Considering the index was 16% lower just 1 1/2 months ago, makes it one of the more impressive feats I have ever

Trading Notes: It took just 33 trading sessions, and in record fashion, for IWM to go from 52-week lows to 52 week highs. Never before has such a move been seen on the index. And in doing so, it broke out of a sideways channel that goes back to April/May of last year. On a

Trading Notes: Stocks are looking at another gap higher this morning following yesterday's unexpected, yet extremely dovish FOMC Statement. Small caps are looking to continue their historic run higher with yet another massive gap  higher - this time above major resistance that dates back to July '22.  SPY weekly is registering almost a max reading

Trading Notes: PPI report came in cool this morning, following a slightly hot CPI yesterday. In both instances the market rallied. The story will be sold that the market cares about these reports but in the end its the narrative and belief of 5-6 rate cuts next year that this market is selling and today