Alex's daily Market update & Focuslist - 01/28
This is a BIG week!!
Good evening!
I hope you are ready…this is a BIG week!!
40%+ % of NQ reports earnings this week, with MSFT, AMD, GOOGL, AMZN, AAPL, etc.
Interest rate decision + FOMC on Wednesday, which will create high volatility
Job numbers on Friday
This is a big week, and I try not to overthink the current price structure as these reports will have huge volatility implications.
As a swing trader using tight entries & stop-loss, I decided to go mainly on the sidelines last week and plan to trade very light & short-term this week with all these critical earnings, economic reports, etc, bringing good volatility.
I want to trade when the odds are stacked in my favor, and this week brings way too much uncertainty + volatility for me to be aggressive. There are still very constructive charts, especially with the broad market in digestion since the start of the year. So, if we react well to FOMC, we could see a broad uptrend resumption, which could bring many great swing opportunities later this week.
Patience.
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
Key Takeaways:
Price was not able to push to a new HH Friday.
MCSI is flat and trying to round up, while NNHs are still decreasing. (mixed signals)
Both 5_momo & MT_momo hooked DOWN today. That's a red flag if we continue that trend this week.
Overall, it is still not a place to engage back long. I want to see ST_momo get back below < 1 and hook up.
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GENERAL MARKET ANALYSIS
S&P500 (ES_F)
It shows wedgy action surfing the 8dma at ATH after a failed new high. The trend remains up as the price is above all kma’s.
I’ll watch the 4931$ & 4830$ levels forming the current range structure for an indication of further direction.
NASDAQ (NQ_F)
As expected & discussed, the tech & mega trade is tired and weak. NQ could not hold the 17584$ level again Friday, and we are setting up for a potential mini H&S as we are making lower highs & lower lows on the right side.
NQ is my main concern right now and it feels heavy. That's the tech/growth names that I typically trade, so seeing this action confirms the potential rotation or pullback scenario.
Remember that around 40%+ % of NQ reports earnings this week, with MSFT, AMD, GOOGL, AMZN, AAPL, etc. This is a big week, and I try not to overthink the current price structure as these reports will have huge volatility implications.
Price still above all kma’s = uptrend still intact.
RUSSELL 2K (RTY_F)
We broke the intraday wedge structure and were rejected at the UTL's retest and once again at the 2004$ level. We are still in that range below 2004$, and with FOMC this week, we'll probably remain choppy until there would be my guess.
Notice how small caps have moved exactly on those types of catalysts while being very choppy and range-bound in between.
The RTY/small-cap chart looks very constructive and shows a potential broadening of the market IF we have a good FOMC reaction and continue higher from here.
Market Internals
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