Interesting times for stock traders these days.
Investors are clearly spooked, and waiting for the stock market genie to bid stocks higher again. “I’ll be fine, the market always goes higher…” Yeah, good luck with that in 2016. My business partner used to tell seminar attendees, “the one guarantee in the market is there will be change.” Erik was right.
You don’t need to change strategy, but you do need to have one. The perma-bull market has seen better days. Look at the chart of the SPY for 2015, it is an 11 month trading range.
The powers-that-be gave the buy and hold crowd a gift, as well as, the long only day traders. 2015 was a wake up call, you need to know your stuff know. The party of free, clueless money is over. Get a trading education, learn to trade, it will be 100X cheaper than closing your eyes.
If you don’t know anything about the stock market, stick with mutual funds and asset allocation.
A running joke in NYC city goes like this… “What’s the best way to create a small fortune in the stock market? —- Start with a big one…”
Don’t let this happen to you. Get educated.
Pete’s Day Trading Notes:
- FOMC Today
- I see AAPL trading lower today after the earnings report but I would not short the lower open. The first rally is a better trade to sell-short.
- The slow grind higher should alarm those without discipline. Don’t short stocks going higher intraday.
- Oil in the news too much. as Jesse Livermore said, it’s marketing for the big money…
Stock Market Today: Map of the S&P 500
(click the map for a full view)
–> Top 25 Proprietary Trading Secrets
SPY price action was deceiving yesterday. Day traders were bored to death with sporadic light volume. Looking at the ten minute chart, we see nothing but doji candlesticks, showing indecision.
(click the chart for a full view)
Crude Oil Prices Slide Before Key Data Today
— CrudeOil News (@crudeoilooyu) January 27, 2016
Crude oil futures declined on Wednesday, nearing $30 a barrel as profit-taking wiped out some of the gains from the last session.
Oil slid near $30 on API stock build data, before DoE report today. Expectation of no-change at Fed’s meeting fuelled a gold rally
March crude oil futures are trading higher by $1.29 at $31.63 in Tuesday’s session. The contract has over a $3 range since bottoming in pre-market trading at $29.25 before reaching $32.41 around 1:30 p.m.
Crude Oil Chart Ahead of Today’s EIA Report
Oil prices slid on Wednesday, ahead of key data expected to show another increase in U.S. crude stockpiles that would add to the already oversupplied global market.
The American Petroleum Institute, an industry group, reported late Tuesday that crude supplies climbed by 11.4 million barrels last week. The more closely watched report by the U.S. Energy Information Administration will be published later Wednesday and analysts surveyed by The Wall Street Journal project an increase of 3.3 million barrels.
“If these [API] figures are even remotely confirmed by the EIA, total commercial stocks will have reached yet another all-time high last week, reminding us of the enormity of any move to rebalance,” analysts at PVM brokerage said in a note to clients.
Continue reading on marketwatch.com
(click the chart for a full view)
Stocks to Trade 1-27-16
Short-Term Trading Momentum:
Positive the last 20 and 5 trading days | closed 2% higher from the open: RRC, EQT, AR, GPOR, COG, DKS, FSLR, VIAB, TWX, KHC, KSS, O
Negative last 20 and 5 trading days | closed 2% lower from the open: lng, hal, mbly, fit, hog
Quarterly Order Flow:
Bullish Stocks to Trade: FSLR, JNJ, FL, DG, LULU, MCD, NEE
Bearish Stocks to Trade: apc, wmb, cf, dvn, car, hes, lng, cop, wdc, hain, stx, ua, cyh, axp, cof, aer, eog, ual, nbl, apa, lyb, cat, gs, stt, slb, aapl, esrx, ma, ba, ir, jpm, tsla,
20 Day Breakdown: hog, nflx, tsla
20 Day Breakout: SWFT, EQT, GPOR, VIAB, KHC, VZ, O, VOD, CTSH, CMS, EIX, EA, T
2x Normal Volume: COP, JNJ, COH, AVGO, HES, TYC, IP, WDC, HOG, DHR, SNDK, RLYP, CBG, CAM
Inside days: intc, c, wfc, wmb, emc, slb, axp, schw, apc, dhi, csx, sbux, hes, tyc, ip, mcd, jci, usb, met, eog, sndk, vlo, cof, nov, oxy, sti, atvi, wtp, m, gs, mos, wy, ibm, dfs, amtd, etfc, wba, syy, fti