My Swing Trading Strategy
New week, month and quarter. I’m 100% cash coming into the day and will look to get long with 1-2 new positions. Always the potential for an April fools market fade. Be aware.
Indicators
- Volatility Index (VIX) – a 5% decline on Friday, and has dropped four of the last five sessions. Looking, once again to test the March lows.
- T2108 (% of stocks trading above their 40-day moving average): Breadth, wasn’t all that impressive, and the T2108 showed it with only a 2% move higher and only 52% of stocks trading above their 40-day moving average.
- Moving averages (SPX): Back above the 10-day moving average, and all major moving averages.
- RELATED: Patterns to Profits: Training Course
Sectors to Watch Today
Technology pulled it together on Friday, and looking to continue the trend of higher-lowers and higher-highs, with a possible test of the March highs. Double bottom in the short-term on Industrials that will confirm today. Staples continues to print new rally highs. Watch for a breakout of consolidation in Discretionary.
My Market Sentiment
The market was an absolute chop-fest for much of March. Today the market is looking to gap higher and pull away from support underneath. Always the potential for a market fade on these gap ups, but so far, considering the Friday’s push higher, today’s continuation looks promising.
S&P 500 Technical Analysis
Current Stock Trading Portfolio Balance
- 100% Cash.
