I have quite a few friends swing trading right now. I think they should be in cash. They are part-time traders with jobs in other fields.
This is a tough tape to hold over-night positions with any conviction. Day trading, however, is very good if you have the patience to wait for the best trade setups. Most of which have arrived in the afternoon. Trading the open is a non event right now with so much indecision.The SPY volatility and lower open (6:30am) is the price action most traders were expecting on Friday afternoon.
Be smart if you are not in front of your trading screen all day this week. There is plenty of opportunity to earn money trading over the course of 2015. The last week of summer with global turmoil is a tough fight to pick with the stock market.
The U.S. equity markets decline of 6% was the worst month in 3 years.
Stock Market Today: Map of the S&P 500
(click the map for a full view)
Expected SPY volatility after a weekend of fresh news never arrived. The $TICK indicator is a great tool for day trading right now to keep you out of trouble.
(click the chart for a full view)
Stocks to Trade | Tuesday September 1, 2015
- Stock specific trading right now.
- Overtrading can be very expensive this week. I have no problem with fewer positions until we get a few days of trading with clear higher-highs and higher-lows (or vice-versa).
- CVX, XOM, OIH showing short-term strength.
Charts in Focus
NSC offering $5 profit potential on this daily bear flag with clear support just above $72. Average true range is $2.22 so this could be a nice two day trade into that profit target.
(click the chart for a full view)
Earnings in play today > 1M avg shares: AMBA, BOBE, EXA, GWRE, HRB, PRGN, QIHU, SCVL
Stocks that showed relative strength– contra to the SPY – change from the open on 8/31/15: COP, HAL, CAM, SNDK, NOV, CLR, NFX, HES, BHI, HP, MUR, GMCR, SLCA, PXD, URI
Bullish Ideas ATR/Volume/Price: NFLX. TWC, UA,
Bearish Ideas ATR/Volume/Price: viab, fit, wynn, juno, gpro, terp, twx, vtr, lvs, kss, grub, baba, m, dis, feye, all, qihu, bidu, dvn, wpz, de, bx, nxpi, unp, myl, qcom, mjn, slca, hot, ir, lng, sndk, antm, utx, yelp, pg, adsk, nsc, slb, etn, mmm, mur, mon, xom, apc,
Weak Stock Weak Close: wynn, juno, gpro, jd, vtr, baba, feye, bidu, yhoo, rax, isis, hcn,
Strong Stock Weak Close: ATVI, CCE
Weak Stock Strong Close: viab, dvn, ms, slca, sndk, cog, joy, cnq, bp, gm, slb, adm, xom, apc, coh, cat
Strong Stock Strong Close: CAM, BBY
20 day Breakdown: exc, nee
20 Day Breakout: BBY
2x Normal Volume: DO, NBL, NEE, PSX, CNQ, DLTR, KIM, SLB, COP
Watch List Longs: BBY, SBUX, TWC
Watch List Short: kss, all, wynn, lvs m, qcom, sndk, wmt, mrk, slb, adm, ko, xom, hpq, emc, orcl, dd, txn,
Inside days: do, adsk, cvx, wy, amtd, hpq, aem, nue, mat, mxim, schw, cag, hig, wfc, len, qihu, nsc, mchp, ebay, csx, tsn, mos, ip, wmb, cybr
SPY Volatility Begins September Trading
Stock futures point to steep drop on China, data jitters
U.S. stock index futures pointed to a sharply lower open on Tuesday, with Dow futures down in excess of 380 points in pre-market trading, following some weaker than expected Chinese data.
Two sets of key Chinese data disappointed traders on Tuesday. The official manufacturing purchasing managers’ index (PMI) edged down to 49.7 in August from 50 in July, while the final Caixin/Markit manufacturing PMI came in at 47.3 in August, the lowest reading since March 2009.
The numbers failed to calm ongoing jitters about the world’s second-largest economy, which led to the worst month for more than 3 years in August on the S&P 500 (^GSPC), the U.S. benchmark stock index.
Two key reports are due out on Tuesday: The August ISM manufacturing index at 10 a.m. ET. and U.S. auto sales, which are expected to show continued strength in the consumer.
As of the market close on Monday, analysts polled by Thomson Reuters expected a read of 52.6 for ISM manufacturing, a tick lower than July’s 52.7 print.
Construction spending data will also be released at 10:00 a.m. and will also be in focus for traders ahead of Friday’s highly anticipated official jobs report.
Also in focus will be a speech on the economic outlook on the U.S. economy from Boston Fed President Eric Rosengren in New York at 1:10 p.m. ET.
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