Alex's daily Market update & Focuslist - 01/03
Pullback underway, with ST momentum oversold & potential support levels within reach.
Enjoy tonight’s report!
Alex ✌️
Tonight’s daily report content
PrimeTrading Market Model #PTMM + Takeaways
General Market Analysis: NASDAQ - S&P 500 - RUSSEL 2K - OTHERS, including my daily levels & my bullish and bearish scenarios
Market Internals
Sectors & Themes Analysis
Daily Focuslist including setups, alert levels & explanation (long & short)
Leaders list + Scans (technicals, fundamentals & potential TMLs)
My Portfolio Update
Economic Calendar
PrimeTrading Market Model #PTMM + Takeaways
PTMM is on a GREEN market signal (🟩)
Key Takeaways:
RED SIGNAL
MCSI hooked down + PTHL rounding
Good distribution day with GDB at -640
Momentum indicators:
Extreme negative momo today at 0.05
Extreme 5-day ratio at 0.13 (Due to low volume holiday trading too)
The 10-day ratio turned negative today
Today's selling gave us the model RED signal, but ST momentum & breadth are getting stretched and oversold, so a reaction bounce would make sense at that point. Where we’ll go from here will give us a lot of clues about the depth and duration of that pullback/consolidation, but right now, we first need to see where we find some intermediate support.
MCSI hooked down today, along with PTHL dangerously rounding down. These 2 are undoubtedly cautious signs.
That said, I consider the bigger picture: with every MT & LT indicator of the PTMM model still green, I see this PB as a buying opportunity.
We also see sound setups like LLY PDD SMCI, etc. decoupling, and still setups working like that while major indices are correcting for 3 straight days is telling me this is potentially a healthy pullback.
I remain cautious, especially if we see an ST bounce and hard rejection on the rally attempt.
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