_____________________________
Broad Market Outlook
With an impressive jobs report on Friday, the market really woke up from the bearish slump it had been in lately. After pulling back nearly 8% off highs, the market ripped higher closing ony 1% higher on the day, yet the bullish engulfing candle showed how quickly fear can turn into confidence.
Now we are far from out of the woods but for now 420 seems to be a decent line in the sand for the week ahead. Where best case we see a move up to 420 if this action wants to continue.
Coming into the week we had the attacks on Israel that are causing the futures to fall and oil to rally. As sad and defavasting as what is going on over there, when the new cycles shifts towards the next fearful headline the market will quickly forget. It is hard to say but an unfortunate reality, Mr Market lacks empathy, if you had not noticed. The turmoil over in Israel could test that 420 pivot low but it will not be a catalyst to cause serious damage to the US Markets. As much as people try to complain about the places that they live in or how "bad" our country is, this is a time to remember how lucky we are to walk around without the fear of what is going on in these countries at war overseas.
After the strong move on Friday, we should expect some profit taking and some fear to enter the market at the start of the week, we do not want to chase names as most need some time to settle out and set back up.
Nasdaq and the tech names continue to show that they are leading in this market, while consumer staples, REIT's and Utilities should be avoided at all costs right now.
Stock wise, my focus is this BA after 21 down days in a row in the most controlled pull back in a Dow 30 name. That I have seen in quite some time, once this sell program gets turned off and BA breaks this orderly down trend, there should be some shorts getting squeezed out of the trade. That could yield some bounce back type of move, I will be looking out to see if/when this downtrend is about to break.
And last but not least....
The 10 year does seem to be starting to capitulate once it can start to fade this breakout and pull back into the trend line we should see more of a bounce out of the market.
From Bennett
_____________________________
Macro Rotation Outlook
SPY
Dow Jones
Nasdaq
Mid Caps
Small Caps
_____________________________
The Entire 11 Step Series is Published!
After 7 years of writing and the last 18 months updating, editing and getting each book in the series published we can breathe a tiny relief. Yet the work is not done as we continue to update and improve the lessons in these books!
We have lowered the soft cover book cost down to $4.99 and the hard covers down to $9.99, if you have enjoyed the series and would like to add the entire series to your bookshelf you can do so at an affordable price. As always if you can support by leaving a review on Amazon with a picture of the book we will credit you any cost you incur!
_____________________________
Sector Rotation
Sensitive - sectors that have moderate correlations to overall market conditions.
Tech
Energy
Industrial
Telecom
_____________________________
Trading Experts Comma Day Shirts
_____________________________
Cyclical - sectors that are more sensitive overall market conditions.
Materials
Consumer Discretionary
Financials
REIT
_____________________________
Tax Experts
For all those high income earners who cannot contribute to your Roth IRA. We just came across a way to do so that costs pennies on the dollar, shoot me a message on discord to learn more!
_____________________________
Defensive - sectors that tend to outperforming during sub par market conditions.
Consumer Staples
Healthcare
Bio Tech
Utilities
_____________________________
Big Picture Set Up's
BA
Terms and Conditions Trading Experts LLC (“Company”) is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or urgencies customers should buy or sell for themselves. The independent contractors and employees or affiliates of Company may hold positions in the stocks, or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company’s products (collectively, the “Information”) are provided for informational and educational purposes only and should not be construed as investment advice.