Current Long Positions (stop-losses in parentheses): AAPL (334.75)
Current Short Positions (stop-losses in parentheses): None
BIAS: 10% Long
Economic Reports Due Out (Times are EST):Jobless Claims (8:30am), EIA natural Gas Report (10:30am), Consumer Credit (3pm)
My Observations and What to Expect:
- Futures are moderately higher going into the open.
- Asian and European markets were mixed.
- While the S&P managed to close above the 1332 finally, thereby ending the, albeit short in tenure, market downtrend, with a new higher-high.
- For four straight days we have been trading within tight consolidation forming doji candles on 3 of them.
- Watch for a close below 1328, to determine whether this market may see additional selling in the short-term.
- A break of 1328, could lead to, at the very least, a mild pullback.
- The S&P continues to find strength with the 10-day moving average – trading above it now for 12 straight days.
- Volume has seen a slight increase over the last two days.
- Overbought conditions in the short-term are being alleviated to a degree.
- Weekly charts show the market looking very healthy.
- Next level of resistance is 1344 on the S&P.
- My conclusion: Recent consolidation might be the profit taking we’re looking for. The odds are very favorable we see a rip higher in the short-term.
Here Are The Actions I Will Be Taking:
