Alex's daily Market update & Focuslist - 12/05
Rotation back into mega-caps!
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Tonight’s daily report content
PrimeTrading Market Model #PTMM
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
Prime Model spreadsheet (PT_database)
PrimeTrading Market Model #PTMM
PTMM remains on a YELLOW market signal (🟨)
Key Takeaways:
GDB closed at -414, seeing weak breadth and rotation back into mega-caps today.
-60% down day, which was pretty wide.
Very weak daily_momo at 0.14.
MT_momo is still extreme but cooling off slowly.
Today, we saw completely the inverse of the last few days, with breadth being weak and a rotation INTO mega-caps. We’ll see how we react to this near-distribution day, but it seems the dip is also being bought after-market hours in small-cap and NQ/ES.
We remain extended, overbought, and extreme MT_momo, so caution is advised even if we see a continuation breakout tomorrow.
System Action/Rules:
New LONG exposure allowed
1/2 positions only (10%)
Trimming 1/3 at 2R & 3R
Keeping 1/3 as a runner position
PF exposure max = 50%
New open risk > - 0.50%
Alex's gameplan:
I like how the mega-caps found support at their 21dma (FNGU/NQ) and how my positions are held overall. This market is strong, that’s for sure.
I’ll look at this first 21dma pullback on NQ as an opportunity and continue to play setup by setup and position by position.
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