Quick Summary:
Indexes continue to consolidate at highs. Focus list stocks ACHC, AN, BITA, GNC, WYNN, YY LOCO near entry levels. Stopped out of X.
Admin Notes:
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Video Analysis:
Today's Report is in video format with a written summary below (12 minutes).
Video Notes:
The overall game plan is the same Monday's report: monitor the indexes for breakout failures. Until then, I will look for longs in individual equites--focus list stocks and earnings breakouts.
One key adjustment is with oil's gap down, we will wait to see how the bottoming oils stocks handle it before looking for entries.
Indexes
SPY and QQQ continue to consolidate, though today there was a bit of a pullback. However, the gap was not filled so no clues given, just some rest. The indexes are still extremely overbought, at the top of their respective ranges, negative divergences *but* this time around with better underlying action.
For SPY continue to monitor any pullbacks to gap fill or moving average supports for long entry.
We stalk the QQQ breakout to see if it fails and we get the "breakout failure divergence" setup.
Today's Trades
We were stopped out of $X for a 1R loss. When reviewing this trade next month, I will still give it an "A" grade. It is a good setup. However even the best setups can get taken down when a sector gets taken down, like the steel sector did today.
Breakouts
No new breakouts added to the focus list. We are keying in on ACHC and AN tomorrow (see video analysis for entry and strategy).
TTWO,ACHC,RFMD,ACCO,AMED,X,TQNT,AN,TRNX,MSG,RCPT,VDSI,BCOR,CATM,BWLD
Focus List
Most of the focus list is still healthy, and 5 are right near buy points for tomorrow: BITA, GNC, LOCO, YY, WYNN. WYNN formed a nice hammer, but I did not enter due tot he gap down. I will watch how it handles the moving average tomorrow.
SPLK,MNST,NILE,MEG,X,GPRO,GMCR,BABA,MBLY,PANW,BITA,GNC,LULU,LOCO,BIDU,YY
Most of our gas/solar bottoming plays gapped down with the sector. We will continue to monitor the sector but not looking to enter yet.
HP,RRC,NFX,AR,CSIQ,FSLR,EXXI,LPI
Please read the post 23 Laws of the Part Time Swing Trading the Market Speculator Way and How to Analyze Your Swing Trade Results It is important to know these rules if you trade off the Report.
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