Big Picture - Keep It Simple, Focus on the Relative Strength

    
   
   
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Broad Market Outlook
As the market inched higher last week closing with a doji day a mere 2% away from major resistance. Internally the action was quite choppy all week where the money was made by focusing on those single trades when given. 
There has been some money to be made and we should continue to see that in the coming week but one needs to be quick at the entries and exits, holding a name for even a few days in this market in our favor is a gift. 
I have been spending far more time recently focusing more on 15 minutes charts that I can remember in quite some time. With that being said, focusing on the sectors with relative strength right now and then scanning those sectors seems to be the best way to spend our time research wise. As obvious as that sounds, sometimes it needs to be said or reminded when we might feel that headlines or other topics are more important when they are usually just distractions from the main goal. Which is to find profitable set ups. 
The consumer discretionary sector is setting up nicely for the week ahead, along with the industrial sector along with the tech names that have shown there still in the game. These all could be great sectors to focus on in the week ahead. 
On the flip side, the Dow 30 names are near major resistance, the S&P 500 is less then 2% away from major resistance and sectors like Consumer Staples, Healthcare and Utilities seem somewhat extended and probably best to avoid or take profits in. 

                                                                                          
From Bennett

 

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Macro Rotation Outlook

SPY
Dow Jones
Nasdaq 
Mid Caps 
Small Caps
 
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Sector Rotation
Sensitive -  sectors that have moderate correlations to overall market conditions. 

Tech
Energy 
Industrial
Telecom
 
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Cyclical - sectors that are more sensitive overall market conditions.
 
Materials
Consumer Discretionary
Financials
REIT
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Defensive - sectors that tend to outperforming during sub par market conditions.
Consumer Staples
Healthcare
Bio Tech
Utilities
 
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Big Picture Set Up's
AMZN
AMZN continues to base out under this $104 area vs $95 in its current flag. One to keep on the radar if it can tighten up a bit more, not looking to chase $104 Monday morning off the open if it was to test that level 3rd day up. 
EXAS
We have been watching this EXAS flag out for month now and as it continues to get tigher, I will be looking for an entry up through $69 vs $64 for now. 
MYGN
As the $24 breakout area failed, it seems a shakeout of support at $22 is in the cards, if it does and snaps back, will look for a support buy back up through $23 vs $22.
OPCH
Started a swing in this OPCH last week as it continues to trade in a $1 range, have buy stops in to add up through $32 if it wants to breakout of this flag this week with the same stop vs $31. 
PODD
PODD weekly is looking better with each passing week. A case could be made for a $320 entry but for now not trying to rush this macro set up and will be patient and wait for $325. 
 
  
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