April 18th, 2016 Watch-list
Afternoon traders! Small red day for the overall market Friday with the DJIA closing down 28.97 and the SPX closing down 2.05 points. We're still sitting right up near that key 18000 level for the DJIA and the market is showing some hesitation in that area. We're still fairly topped out technically speaking on both the daily and weekly charts for the market. If we do happen to see a break of 18000, next level to watch is the 18350 range for the DJIA. If the reverse happens and we finally get a sustained pullback, we'll look to see the market settle down to the weekly 50ma for the DJIA. Both the daily and weekly charts for the DJIA and SPX are below with key support and resistance labeled for review.
Current Below $20 Plays:
MNGA: This one has seen a nice move from the initial buy signal, but has failed to hit that $1.15 target (falling 1 cent short on two occasions). For those who are still in, like I mentioned in the previous video watch-list I'd recommend having your stop loss moved up to within 2-3% of your entry price to reduce risk on this play. As we've discussed many times, if we aren't able to secure profit here and it turns against us, we'll watch it in that secondary support level for another potential entry.
AHT: Nothing new on this play. Still waiting for it to settle down into our buy range. May take some time.
NLS: Very similar to AHT, this is another play we're jumping on early and waiting patiently for it to settle down to us. Will need more time. Good one to keep on watch and on the back of your mind for now.
Current Above $20 Plays:
ERY: Nice move on Friday with this play. Ended up giving a 3/4 buy signal. Key for early this week is to hold above $20. Next key break is $21. Have your 1/2 stop loss locked in for those who did enter just in-case this was a mere 1 day pop.
TZA: Still watching for this one to come down a little further for us here. Initial plan labeled in chart below.
SDOW/SPXS: Nothing major new with these two inverse market ETF's. For those who are in and entered in this lower level, have your stops set just in-case the market does rally higher.
Strategy For The Coming Week:
The main focus for this week is going to be to continue to monitor the market up in these key resistance levels for a sustained pullback. With the market being where it is, there is still increased risk in entering too many plays, especially above $20 plays. With that said, the goal is going to be to add 1-2 new below $20 plays this week along with hopefully being able to exit a few of our current plays. On the education side of things, we'll have a new Elite Video out this week as well dealing with trading Oil. It will be very similar to our other ETF videos we've done in the past. As usual, if you have any questions at all, let me know!
