My Swing Trading Strategy

One new position added yesterday, and considering another new position as well today. But the market needs to show that it can hold its gains into the close, something that has eluded it in each of the last six trading sessions. 

Indicators

  • Volatility Index (VIX) – Gave up its session gains, but still closed just above the 50-day moving average. Again, the 5/22 lows need to be taken out to support a bigger move higher for stocks as a whole. 
  • T2108 (% of stocks trading above their 40-day moving average): Flat day, but consolidating over the last three days. Has pressure overhead from the 50-day moving average. 
  • Moving averages (SPX): SPX currently trading above all of its major moving averages, but sitting on the 5-day moving average and just above the 50-day MA. 
  • RELATEDPatterns to Profits: Training Course

Sectors to Watch Today

Healthcare breaking out of its five day consolidation, and yesterday’s market leader. Real Estate remains strong hitting new all-time highs, in a very aggressive way. Technology bull flagging well, and could see a breakout today. Financials still struggling to catch a break, while oil is trying to base with an attempt at two straight days of gains. 
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My Market Sentiment

The sixth straight day of consolidation – the bull flag seen on the chart here is holding up really well. Any weakness during this time has been on extremely low volume. Tomorrow is FOMC day which could make things interesting as investors await to hear whether there will be rate cuts in July and September. 

S&P 500 Technical Analysis

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Current Stock Trading Portfolio Balance

  • 50% Long

Recent Stock Trades – See My Past Performance Here.