Quick Summary:
The bounce is here! December seasonality plays out just as expected with mid month volatility and late December rally. I exited TQQQ on gap up for nice profit. Still holding CYBR, Z and UCO.
Video
http://youtu.be/gYuEwpBLeDUNote: I highly recommend that you watch the video if you can, rather than just read the notes. I talk about strategies, entries and exits more in depth in the video. I try to make them short and to the point with little non-essential information.
Indexes and Game Plan
The bounce is here. So far December is playing out as expected with mid December volatility and now the late December run. Price is right at the 20 dma. For a run to new highs we want to see a remount and hold of the moving average. Keep in mind that we now have a big gap that could be filled at some point. Also, not as many 4% breakouts as one would want on a big bounce.
The game plan is to look for good pullback entries in individual stocks. TONIGHT I WILL GO THROUGH TONS OF CHARTS AND COME UP WITH A LIST FOR PULLBACK ENTRIES AVAILABLE PRE-MARKET. These types of bounces tend to bring about new leadership, and we are seeing that now. Take note that stocks like GOOGL, AMZN, NFLX and other are not making big moves while others are.
Today's Trades
Current positions: UCO, CYBR and Z.I exited TQQQ for a nice gain on the gap up. Watch video for discussion of UCO, CYBR and Z.
Sector Watch
All sectors showed strength today.
RETL,USO,XLE,EDC,IBB,INDL,BRZU, XLF, NUGT .
Breakouts
The breakout list showed strength across the board.. BWLD is starting to show signs of being the next big momo.
With earnings season coming to an end, we continue to watch the attractive earnings breakouts we collected. The good ones are forming ranges and some will become the next momentum players.
TTWO, CALD, COUP ACHC,RFMD,ACCO,AMED,X,TQNT,AN,TRNX,MSG,RCPT,VDSI,BCOR,CATM,BWLD
Focus List
I will have a pullback list pre-market.
Focus list: AGIO, SGMO, ESPR, SIG, VA, BABA, UA, NFLX, TSLA, HABT Focus list to start the week:
CMG,COUP,VEEV,Z,MNST,VA,ZEN,VTAE,SIG,BABA,UA,LDOS,PTX,LNKD,CYBR (see video for setups/entries)
focus list biotech: ATRA, ESPR, SGMO, MDVN, AGIO, ACHN, RGLS
focus list retail: NILE,TIF,SIG,OUTR,HABT,GES,MUSA,ARO,ULTA
Please read the Education Archive and posts 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 setups and rules if you trade off the Report.
New subscribers and trial members please leave me any feedback/comments in the comments, via email (singhjd1@aol.com) or twitter
(twitter.com/PaulJSingh)
