My Swing Trading Strategy

I sold my position in Adobe (ADBE) yesterday for a +1.4% profit, while also taking losses on a couple of other swing-trades. I added one additional long position as the market dipped and rallied. 

Indicators

  • Volatility Index (VIX) – The market smashed through the 20-day moving average, but again in dramatic fashion, gave up more than two-thirds of its profits before again closing below that stubborn 20-day MA. 
  • T2108 (% of stocks trading above their 40-day moving average): A 4% drop yesterday, sent the indicator down to 74%.
  • Moving averages (SPX): Price closed right on the 5-day MA, while also managing to hold on to the 10-day MA, though it spent much of the day trading below it. 
  • RELATEDPatterns to Profits: Training Course

Sectors to Watch Today

Healthcare flipped yesterday and went from being the market leader the previous trading session, to being the market’s biggest loser. A lot of volume pouring into this sector and could be setting up for some profit taking should additional downside follow today. Materials found support at the 20 and 200-day moving averages simultaneously. Utilities are starting to pull out of the bull flag pattern as is Energy. 
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My Market Sentiment

SPX to this point has been unable to break through support or resistance. Good chance that changes today as both are converging and going to force price action to make a choice on direction going forward. 

S&P 500 Technical Analysis

swing trading strategy report 389

Current Stock Trading Portfolio Balance

  • 20% Long.

Recent Stock Trades – See My Past Performance Here.