In life, as well in stock trading, you must be prepared for an opportunity that may never come… than not prepared when it arrives.
Sometimes to be a successful trader, you have to do the work you might not need. This means always doing top-down analysis, even if you only trade the same stocks every day. This extra daily work may not show up in your P&L, but it builds conviction.
It means always knowing the news and chart patterns in stocks related to the ones you trade. And it means preparing for trading scenarios on both sides of the market, even if you feel it’s not necessary. Such as a raging bull market or bear market.
Yesterday that preparation paid off. I’ll be the first to admit the tape was unclear for traders, but those who did the work, were prepared with a list of stocks to buy. It was nice to see the SPY bulls surprise stock traders with continued buying after we traded above the opening price.
If you did the work, you got paid. Don’t be surprised, be prepared, when opportunity arrives…
Stock Market Today: Map of the S&P 500
(click the map for a full view)
Day Trading Game Plan: The SPY ETF Chart
SPY bulls gave us a gift the day before the FOMC meeting starts. We are looking for follow through this morning, day trading mode after that.
(click the chart for a full view)
Stocks to Trade | Wednesday September 16, 2015
Pete’s Notes:
- A pleasant bullish tape yesterday.
- Mostly “old-school” day trading right now. Intra day charts and yesterday’s high and low.
Charts in Focus
Solid short-term breakout in UA yesterday. In our trading game plan for 2 weeks with no trigger until now. Looking for it to make another run at $100 and then the double top pattern at $101.
(click the chart for a full view)
Earnings in play today > 1M avg shares: FDX, ASNA, ORCL, PTN
Stocks that showed relative Weakness– contra to the SPY positive change from the open on 9/15/15: espr, ssys, kite, data, mwe, wrk, cybr, alk, qrvo, gmcr, mar
Above the 20sma, up for the week and closed 2% higher from the open: (not necessarily all longs, but stocks to note for the price action of strong close from the open and above the 20sma): SRPT, CHTR, CAR, SWKS, POST, TAP, UA, HAS, EXPE, UPS, JBHT, CE,
Bullish Ideas ATR/Volume/Price: CAM, LB, AVGO, TSLA, NKE, SBUX, UNH, UA, FB, GOOG, GOOGL,
Bearish Ideas ATR/Volume/Price: gpro, amba, qihu, fit, wynn, cybr, lng, terp, lulu, wmb, clr, mpc, dvn, hp, feye, cf, bidu, abbv, apc, mon, slb, hal, amt, twx, ppg, qrvo, cci, oxy, pxd, etn, stx, utx,
Weak Stock Weak Close: qrvo, gmcr
Strong Stock Weak Close:
Weak Stock Strong Close: lbtya, wynn, de, amba, cat, se, wmb, jd, pg, usb, yhoo, baba
Strong Stock Strong Close: CVC, AVGO, ATVI, MAS, TMUS, NKE, CCL, UNH, UA, MO, CDNS, NVDA, HOLX, GOOG, GOOGL,
20 day Breakdown: cci, hst, lulu
20 Day Breakout: STRZA, SYNA, MTZ, CDW, AKAM, JBL, INCY, ZG, NCLH, AVT, POST, SRPT, ISIS, PANW, Z, KLAC, ARMH, RCL, SABR, ADSX, SFM, AVGO, BRCM, SWKS, TSN, BBY, ATVI, RIG
2x Normal Volume: BEE, AEO, RIO, LULU, HST, CCI, DRH, VOD
Watch List Longs: BBY, TWC, MCD, SBUX, UNH, BRCM, AKAM
Watch List Short: abt<43, slb, hal, wmt, kss, wynn, intu, nue, qcom, dd, lvs, m, hpq,
Inside days: rio, ctsh, kr, gpro, abbv, mur, len, mbly, cbs, fox, hrb, amgn, qihu, emc, te, lnkd, kors, wpz, cog
SPY Bulls Surprise Stock Traders | September 16 2015
Market Climbs as Wall Street Awaits Fed Decision
United States stocks rose sharply on Tuesday, a day before the start of a crucial Federal Reserve meeting.
Policy makers at the central bank are to convene a two-day meeting on Wednesday and could decide to raise interest rates for the first time in nearly a decade.
Investors and economists are divided on whether the Fed will, or even should, raise interest rates this month. On the one hand, hiring in the United States is continuing to improve and the housing market is recovering. On the other, there are signs that weakness in the global economy could impact America’s economy.
Fed policy makers have kept the benchmark rate close to zero for almost seven years, supporting both the economy and the stock market.
The gains on Tuesday came after mixed reports showed weakness in some parts of the economy. While retail sales edged higher last month, factory output fell as automakers cut back on production. A New York Fed survey this month showed that factory activity in New York State sank for a second straight month.
“It’s almost as if the market believes the Fed isn’t going to do anything on Thursday. That’s why people are bidding it up,” said Kevin Mahn, chief investment officer at Hennion & Walsh Asset Management in New Jersey.
Continue reading on nytimes.com
