Welcome to another Daily Update & Focuslist!
Enjoy ! ✌️
Disclaimer: This newsletter is not financial or investing advice. The information is for education purposes only and reflects only my own operation.
Market REVIEW
Today was a mixed bag imo. We had constructive action on the indice, as we undercut 4387$ and closed above it. This kind of shakeout can be a powerful catalyst on the upside.
However, the individual names & breadth sent a different signal as many failed to follow through and I had to close a lot of new positions that just failed at their breakout attempt. I have the feeling that the selling is exhausted, but no sector can take the leadership, except for Oil/Energy, for more than 1 or 2 days. We’ll need to see broader participation if we want to have a chance to resume trend here.
Here is 2 scenarios I’ll be looking in the next few days.:
we get maybe 1-3 days of tight action then BO of DTL
we get 1-3 days of tight action then reject DTL and undercut 4387$ level.
Something that really catch my eyes as well, notice how well organized & structured this 14 last days PB selling is. No volume, relatively small range, no more than 2-3 successive red days.
Breadth:
VIX still above 20 @ 22.17.
McClellan continues in negative territory.
Both new 52w net H & Adv/Decl negative. Internals confirms that it was not a broad participation day. That’s not the action we want to see.
Sectors:
Not a surprise that Oil & Energy is on top of sectors performance today, but I am more intrigued by Semi’s & Financials high relative performance.
Semi’s making an U&R today. Could this mark the bottom? I’ll be looking closely at this sector in the next few days if we can follow through. It would be really good for the general tech & general market.
Financials also with a shakeout action today. Interesting.
Portfolio UPDATE
New positions:
Trimmed positions:
Closed positions:
STLD (ER in 2 days - not enough cushion to hold)
UUUU (Failed BO)
EQX (Failed BO)
PANW (Failed BO)
Daily FOCUSLIST
Initial Stop loss is always placed at LOD (Low of Day) of breakout candle.
REFERENCES
Articles on my system:
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Hi Alex, Im following you, Richard, Ben and other good folk. Great educational info here. I am impressed by your ETF tracker, anyway i could get a copy? I tried building one with MS Excel, stock data, but how clumsy, Thanks GeorgeKorg.