If this asset class is going to roll over, how do we play it?
Not only did the market explode to the upside while I traveled, this chart makes the move even more bullish.
Another U.S. list of tariffs was announced after the Tuesday close. This sent equity futures sharply lower. Beyond equity futures, which markets get hit by tariff news?
Crude, gas, euro, dollar, bonds … these are still on the radar but with only a very brief break from the tariff narrative, the markets have to switch from SCOTUS and NATO to a new list of tariffs and a next salvo in what is indeed a trade war.
Transitioning from risk-based stops to trailing stops is an important skill to learn. The current trade in the Russell is a great example of how to hone this all-important skill.
U.S. Dollar rollover. Euro FX bottom put in. Soft Brexit. Crude oil continuation … small cap domination. Financials kick off the earnings season. Lots going on this week.
The DIA is setting up with an important signal on the weekly chart. This may take some time to play out, but if it gives us what I think it will, these three names will be worth buying.
Friday’s close marked a sharp reversal in stocks, and today’s follow-through was a great confirmation of strength. As long as the leaders are still leading I’m going to keep buying them, and there’s several other daily Squeezes that might make nice companions to big beta tech.
The analysis we covered on Thursday gave some great trading opportunities on Friday. Here’s a few ways we were able to take advantage of the strength in AMZN and, to a larger extent, in NFLX.