Mr. Market faked us out today, as yesterday's hammer candle reversed and SPY closed below the 200 day moving average for the first time since October '14. Technically this means we are now officially have a broken trend, though we need some follow through.Is this another fake out before resuming, or is there more follow through? Again, nobody knows. The strategy here is to take selective shots not worrying about taking small losses, use pair trade strategies, use VIX/VXX to our advantage and trade smaller or not at all until there is a clear signal.In today's video I go over key SPY levels (watch the gap fill at 202), today's trades, VIX, energy, China and the overall game plan.I took a small profit in CYBR and small losses on ERX and YINN.Still holding GPRO short, FIT and VXX,Trade Report Video:
https://youtu.be/k28kklicQqkFocus List: (see video for setups)I am eying watchlist stocks for potential shorts, including IBB as they near the 50 dma (I'll have a list pre-market). Also still watching focus list stocks from yesterday:We are watching oil, casinos, China and strong relative strength stocks.Energy: CHK, EPE, DNR, WPX, OAS, DIG, ERXChina: YINN, FXI, WBAI, WUBA, SINA, BIDU, BABA, BITACasinos: WYNN, MGMStrong stocks: MBLY, FEYE, MNST, GUID, GWPH, WING