My Swing Trading Strategy

I did not add anything yesterday, because I was holding off to see whether the bulls could close above the heavy resistance overhead. It did not. I may add a new position today, if the bulls can come out of the gate strong and maintain that strength. I booked gains yesterday in Spotify (SPOT) for only +0.4%. Didn’t play out as well as what I was expecting. Moving on. 

Indicators

  • Volatility Index (VIX) – Fell for a fourth straight day, and now testing the February/March lows. May see a bounce here at 13.41. 
  • T2108 (% of stocks trading above their 40-day moving average): I would have expected the bounce in this indicator to be much stronger the last few days, instead, it is sitting at 66% and creating a bearish divergence considering SPX price action is at recent highs, while T2108 is well below them. 
  • Moving averages (SPX): Currently trading above all major moving averages. 
  • RELATEDPatterns to Profits: Training Course

Sectors to Watch Today

Energy continues for a third straight day, to pace the market higher. Healthcare looking to make a move that would break it out of its neckline on the inverse head and shoulders pattern. Basic Materials and Technology showing signs of their rally weakening some. 
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My Market Sentiment

The struggle with strong overhead resistance continues on for SPX as you can see in the chart below. However, I have yet to see a sharp rejection, where price turns negative (like we saw last week). Once again, today, SPX will attempt to break through that level.  

S&P 500 Technical Analysis

swing trading strategy report 397

Current Stock Trading Portfolio Balance

  • 20% Long.

Recent Stock Trades – See My Past Performance Here.