Bounces

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Trade Ideas to see the rest of this letter.**

“To be a good trader, you need to trade with your eyes open, recognize real trends and turns, and not waste time or energy on regrets and wishful thinking.” Alexander Elder

Some wild action this week to be sure.

It‘s just hard to grasp the fact that we fell so hard on such heavy volume, and then we come back as if nothing has happened.

I’m still skeptical of this bounce, but so far it’s working and I am into a BIDU long for now but it may not last long.

SPY snapped back large but couldn’t hold above the gap area at 238.80 to close out the week.

As long as we stay under said gap area, we should see more weakness but who knows.

I surely didn’t expect such a sharp quick move up from the Wednesday weakness.

Enjoy your weekend.

Warren

Bouncing Off Support

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Trade Ideas to see the rest of this letter.**

“I realized that becoming a master of karate was not about learning 4,000 moves but about doing just a handful of moves 4,000 times.” — Chet Holmes

Stocks held support areas and are moving up.

We’re not breaking out, just consolidating in most cases, so more time is needed but things are holding and shaping up for more strength in the weeks to come.

I’m on a bike trip and working along the way and trying to keep a bigger picture view since

I’m not at my desk all day.

I like it this way much better!

SPY is right up against the downtrend line now so let’s see if we can best it.

Moving above it is positive and I’ll have to be longer in more than just mining stocks.

Have a nice night.

Warren

Fickle Bounce

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Trade Ideas to see the rest of this letter.**

“Hard choices, easy life. Easy choices, hard life.”  Jerzy Gregorek

A bit of strength the past couple of days but after such a heavy volume crack lower Tuesday, more consolidation is needed.

Cash is a great place to be with the odd long or short but we need some time to setup the charts again before I’ll be heavy.

We did fade into the close which is what I’d expect at the moment and the early strength was on amoebic volume which doesn’t help the bull case for the short-term.

SPY does not look strong here.
I’d expect at least a test of the 50 day average at 231.85 or so and maybe a move to the 227.50 area.
That said, if we can move back above the 21 day average at 235.20 that would tell me a low is most likely in.

Time will tell but my guess remains 6 to 8 weeks of consolidation before we see the next trending move higher.

There will be swing trades as we wait.

Enjoy the rest of this letter by subscribing and have a nice evening.

Warren

Stocks Are Turning Back Up On NFLX Earnings

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

“Win or lose, everybody gets what they want out of the market. Some people seem to like to lose, so they win by losing money.”  Ed Seykota

A strong day for some stocks today after NFLX showed nice earnings numbers and took the market higher with it.

I saw some miners really begin to take off so I bought a few who I’ll talk about later in this letter, and I also bought a heavy weighting in TWLO as it found, held, and moved back up off a key support level.

TWLO is one of my top picks right now going forward so I was looking to get a heavy position on weakness.

The metals look like they are ready to make the turn higher with miners leading the way, as they often do.

october-19-2016SPY doesn’t look special here but it’s holding above the 200 day average, but not finding the power to best the 21 or 50 day averages yet.

I can be out of stocks very quickly, just as I can be in them quickly, so I am now pretty heavy into stocks, but still cautious and ready to get back into cash.

I know I said I’d likely not do much for a couple weeks but things can change quickly, and I can change my mind just as quickly.

Have a great night.

Warren

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Rocking Into Resistance & A Long Weekend

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

“A person who never made a mistake never tried anything new.”  Albert Einstein

Another strong day as we move into the end of the week and a long weekend.

US markets are closed Monday so holding over the long weekend seems a little on the risky side but that will depend on the action tomorrow.

I still have my full 10% weightings each in SPY AMZN ACIA TSLA GOOGL FB GILD and NFLX but I imagine I’ll be reducing to 5% weightings at some point Friday and perhaps locking in all gains.

Time will tell but the action on this bounce has been great so far.

I also bought a little 5% weighting in AG later in the day today.

SPY July 1, 2016Great stuff from SPY as it approaches the 210 resistance area.

I’d love to hold longer but this is just a swing trade unless we blast above 210 on heavy volume.

I’ve got 10% into SPY at 202 and I’m looking at 208.60 or so for stops now.

Enjoy this beautiful summer evening and long weekend wherever you are.

Life really is great.

Warren

V Bounces Working Well

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

“A man should look for what is, and not for what he thinks should be.”  Albert Einstein

Tonights letter is a bit early with a family lobster cookout this evening.
Summer is so much crammed into such a small space in these parts but I love it!
Stocks continue to bounce as they should and our swing trades are working out well so far.
I may be looking to book profits Friday but hopefully we can wait until after the holiday next Monday to lock in these short term gains.

SPY June 30, 2016Good action from SPY who is stalling a bit at the moving averages but should continue past them after such a violent move lower.
I’ve got 10% into SPY at 202 and stops are now the 205.50 area.

Enjoy your evening.

Warren

FANG Stocks Are Bouncing

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

“I never hesitate to tell a man that I am bullish or bearish. But I do not tell people to buy or sell any particular stock. In a bear market all stocks go down and in a bull market they go up.”  Jesse Livermore

Ah, I love summer with music festivals and lazy hazy days with some trading smattered into the mix.

We’re set to bounce now from what I see and I’m into quite a few stocks now with 10% weighting into each of the following SPY GILD FB AMZN GOOGL TSLA NFLX and ACIA.

I held overnight and am looking for some strong bounces into the end of the week.

I’m still looking at these trades as being swing trades and I am not giving them much room for stops.

SPY June 29, 2016A nice move off the 200 level and 200 day average area made me buy a 10% weighting at 202 late today.

Stops are right around cost and I’d like to lock in gains at 207 or higher if the trade let’s me.

Enjoy this summer evening.

Warren