SPY Thoughts May 28

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups**

“It took me five years to learn to play the game intelligently enough to make big money when I was right”  Jesse Livermore”

Not a bad day as our longs continue to work so far and we added some CELG today to our positions which is made up of AAPL BIDU GOOGL VIPS BWLD and REGN.

We did try some ITMN today but it reversed and we had to take a loss.

No point in holding something that isn’t working when so many are.

Several of my recent buy points were hit today but I’m already pretty heavy here and not so keen on taking too many more stocks unless they looks really great like CELG.

That said, there are some indications that this market is a tad overbought, even though SPY is just breaking clear of 190 resistance now.

Markets can continue higher longer than I think it can so I just follow it and its action and keep an eye on a few indicators that help sometimes, but not always.

Let’s move right into the index charts before we review the stocks I’ve got for members and then any new ones.

I’m about 90% into this markets now and I am not sure if I’ll get into margin yet.

We could get a little pullback soon and I will be looking to book recent gains before buying on the dip.  That is really just a guess though and we will just see what comes.

It’s too bad to see gold break below the pattern it has been in for the past month and a half.  It has to come back very soon or most likely will be heading back to major support at 1k but I cover that at the end of this letter more in depth.

SPY May 28, 2014Great stuff from SPY and this could be the breakaway gap to take us to 196 to 198 which is the target area of this breakout, even though I hate targets.

I prefer to watch the action and react accordingly.

A little tick up in volume today but not huge.

I’m not sure if people are still away or if this lower volume move is real.

If you’re in from 190 stops have to be at cost but more likely 191 to lock in gains if it comes to that.

I’d like to see us near 198 by the weeks end, then we can consolidate.

Enjoy your evening and Wednesday.

And….GO HABS!!!!

Warren

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