Today’s Trading Lesson…
How to Day Trade the Best Stocks and Adjust to the Market…
Day trade the market or day trade your stock and ignore the market? What is your game plan if the market finally runs out of buyers? Only plan day trades that match your strategy. It’s very tough to be profitable with spur of the moment ideas.
Always be assessing probabilities for your next move. Always be building if/then scenarios. Day trading is hard work. The stock market has been kind to investors the last 2 years. We aren’t investors. It’s time to make a trading plan in case of a bearish tape.Continue Reading — >>
On the Tape Today...
$LMT decline has reached a Saturation Point, look to bid a lower open @ $248 (see chart)
$NKE breakout and strong close, buy stop above yesterday's high. Minor resistance at $60, target is $61
$MCD short sale below $115 has an initial target of $112.50, then $110.
$ADBE breakout after 2 inside days. $101.25 buy-stop, target of $102.75
$LMT 8-24-16 (Click to Enlarge)
U.S. stock futures search for firm direction, marooned in wait for Yellen
U.S. stock futures ping-ponged between small gains and losses Wednesday, suggesting a muted open for Wall Street as investors keep up their wait for the Federal Reserve’s summer summit.
The data calendar is light, but the market will get an update on sales of existing homes last month. But trading activity has been lackluster this week, with investors holding off until they have heard from Fed Chairwoman Janet Yellen at the central bank’s retreat at Jackson Hole, Wyo., on Friday.
Yellen’s speech there will be closely watched for hints about U.S. monetary policy and what it says about the path of interest rates. READ MORE — >>
Stock Market Today: Heatmap of the S&P 500
Stock Trading Today 8-24-16
Stocks Edge Higher; Tesla Unveils Long-Range Battery
The Nasdaq climbed 0.3%, the S&P 500 added 0.2%, and the Dow Jones industrial average edged up 0.1%. Volume was mixed in the stock market today, rising 7% on the NYSE and falling 2% on the Nasdaq compared to Monday, according to preliminary data.
TSLA) rose 1% after saying it will launch a battery capable of taking an electric car 315 miles on a single charge, the longest range of any electric vehicle.
The stock ended the day 17% off its 52-week high as it gets support at its 50-day moving average.
After the close, La-Z-Boy (LZB) plunged 16% after investors panned its latest quarterly earnings report. The stock had risen more than 3% during the regular session, hitting a new high.
Tape Reading the SPY ETF
$SPY reporting about a higher close is misleading.
Yes we closed higher but there was no buying after the first half hour. A slow bleeding down trend the remainder of the day on light volume.
One could argue light volume at these levels is good. Yes it is, for the long term trend, but if you’re swing trading, or day trading right now, this is a tough tape. August has required a lot of patience and discipline to trade only setups from your morning game plan.
Anything else and you will spend Labor Day weekend looking back on the charts and say “What was I looking at?!”
Stocks in Play: $AZN research on finviz.com
$AZN NEWS: Pfizer to buy antibiotics business from AstraZeneca
AstraZeneca, which saw off a $120 billion takeover attempt by Pfizer in 2014, said the sale would allow it to focus on developing new medicines in its main areas of cancer, and respiratory and cardiovascular diseases.
The U.S. company, which on Monday bought cancer drug firm Medivation for $14 billion in cash, said the antibiotics would enhance its portfolio of more than 60 anti-infective and anti-fungal medicines.
The medicines include approved antibiotics Merrem, Zinforo and Zavicefta, and ATM-AVI and CXL, which are in clinical development, AstraZeneca said.
Stocks to Trade 8-24-16 | Wednesday Edition
Short-Term Trading Momentum:
Positive the last 20 and 5 trading days | closed 2% higher from the open: BBY, RRC, RH, SM, WMB, CLR, APC, SIG, MUR, DVN
Negative last 20 and 5 trading days | closed 2% lower from the open: myl, hain, lmt, x
Quarterly Order Flow:
Bullish Stocks to Trade: MBLY, SM, CLR, KSS, SWKS, JWN, AVGO, LRCX, PXD, BIIB, FL, BABA, EOG, AMGN
Bearish Stocks to Trade: fslr, eqr, mcd, nclh, dish, bmy
2x Normal Volume: BBY, MDVN, MYL, MBLY, LMT, LDOS, HAIN
Inside days: pfe, baba, hal, xom, m, dis, cvx, txn, epd, low, hfc, kss, mat, bhi, unh, tsn, mar,