There is a scene in Star Trek Into Darkness Where Scotty asks Kirk “Who is this guy helping us…?” Kirk says “His name is Khan and I’m pretty sure we’re helping him…”
After last Wednesday’s violent rejection of resistance with a solid intra day down trend, the stock market should have trade lower. But it didn’t.
So we are trading around the FOMC this week walking on egg shells, because the market should have trade lower, but it didn’t. Conviction in market direction is on pause.
Stock trading for a living is not a 9-5 job where you show up and get paid every day. Sometimes you have to bide your time for a clear bias, so the risk you accept, is justified because the odds of earning the reward are high.
We are not in that tape. Be stock specific.
Stock Market Today: Map of the S&P 500
(click the map for a full view)
Inside day in the SPY but a close near the high. Hard to make a case to be a bull. The SPY is hovering at the 50% Fib level (8/17-8/24). No matter how hard I stare at the chart, it doesn’t change. No bias. Flip a coin here and get very stock specific.
(click the chart for a full view)
Stocks to Trade | Monday September 14, 2015
- Still more short setups, but still not many longs.
- The SPY is as neutral as can be
- The Four Price Points method is a solid trading strategy for this market. Short-term traders will have an easier time finding scenarios.
Charts in Focus
Oil heading lower is good for airlines. Jetblue held new 52 week highs last week. A slow mover but a slow dollar is still a dollar.
(click the chart for a full view)
Earnings in play today > 1M avg shares: ADXS, EXXI, UNIS
Stocks that showed relative Weakness– contra to the SPY positive change from the open on 9/11/15: gpro, ete, se, amba, fit, wynn, mur, comm, epd, paa, cnq, wpz, w, trp, sxl, glng
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): AAPL, DIS, GILD, SBUX, MCD, AVGO, UNH, NXPI, CAH, LEN, HOT, KHC, INCY, ABC, CTRP, ILMN, AET, CAR, ISIS, MGA, FSLR, JUNO, MDCO, VRTX, KITE, SRPT, POST,
Bullish Ideas ATR/Volume/Price: CAM, TJX, AMZN, SBUX, UA, FB, PSX,
Bearish Ideas ATR/Volume/Price: gpro, amba, wynn, qihu, clr, lng, fit, hp, mur, cvn, apa, kss, wmb, apc, de, lulu, dltr, abbv, slb, hal, feye, lvs, twx, baba, nbl, hes, cvx, bidu, mon, mjn, dg, cf, pxd, bhi, trip, cl, cat, xom, etn, cci, etp, qrvo, mmm,
Weak Stock Weak Close: gpro, amba, wynn, fit, mur, cnq, paa, etem se, epd, wfm
Strong Stock Weak Close:
Weak Stock Strong Close: mbly, cybr, cog, aem, myl, nbl, nee, ggp, kim, emc, rrc, voya
Strong Stock Strong Close: BBY, CVC, AVGO, BRCM, SBUX
20 day Breakdown: cci, gpro, lng, mur, wynn
20 Day Breakout: ALTR, BRCM, FCX, FOLD, JBLU
2x Normal Volume: LULU, LNG, MBLY, BEE, KR, NAVI, GPRO, NEE
Watch List Longs: BBY, TJX, TWC, SBUX, BRCM, ALTR, AKAM,
Watch List Short: kss, swn, abt, slb, hal, cvx, wmt, met, ms, bhi, usb, adm, xom, wynn, lvs, qcom, dd, hpq, nue, t,
Inside days: lulu, mrk, dg, abbv, cl, mxim, mdt, hog, azn, abt, nvda, jnj, sti, hpq, stx, gm, esrx, hal, wdc, feye, pepe, qcom, xom, hon, jpm, tjx, bk, wfc, msft, vlo, cvs, grub, biib, trv, adp, hlt, ctsh, amgn, celg, intc, pnc, cern, c, nue, lvs, hig, adi, etfc, fast, t, ntap, atvi, ea, swks, rax, twtr, yelp, mgm
Trading Around the FOMC This Week | September 14
Week Ahead in FX: Market Awaits Fed September Rate Decision
Central bankers will be active the week of September 14 to 18. The Reserve Bank of Australia (RBA) will publish the minutes from its monetary policy meeting on Monday, September 14.
The Bank of Japan (BOJ) will issue its monetary policy statement on late Monday. The BOJ Governor will then address members of the press on Tuesday, September 15. Governor Kuroda will have a busy week as he is back on the forex schedule on Thursday, September 17 to speak at the National Securities Industry Convention, in Tokyo.
Thursday will be a wall to wall central bank action day with The Swiss National Bank will publish its Monetary Policy Assessment and announce its interest target rate for Libor at 3:30 am EDT.
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