March 8th, 2017 Watch-list
Hey traders! Another small red day for the market as the DJIA settled down 29.58 points. We've seen those daily indicators start to let off a little steam. Does that mean we'll see the market retrace all the way down towards 20k? Not necessarily. At this point my main mindset is to not get too biased one way or the other with the market. We have tried twice, with mixed result, to predict a market pullback. Almost everyone is convinced a pullback is right around the corner, and they may be right. But this market has defied everyone for some time now. I don't want to get too confident in a market downtrend starting really until we form a lower high on the daily chart. For now, we'll look to target any decent size pullback as a buying opportunity until the market shows us otherwise. Basically, we'll adapt to what the market gives us. Daily chart for the DJIA below with key support and resistance labeled for review.
Current Open Positions:
LC: Daily and 15 minute buy signal were received on this trade today. With that said, we didn't get the strongest second half of the day on this one. Looking at the 15 minute chart you can see we had a clear upward move around 2:15 eastern time with the daily buy intact and the 15 minute buy intact. Problem is we did not see follow through to the topside. So, what do we do? We make sure we have our 1/2 R/R ratio stop set and we watch to see if the bulls can retake control tomorrow. We started to see a decent amount of buying pressure come in at the close of the day. What we want to see next is a higher low and higher high to form again on the 15 minute chart. We get that, we should be in position to start an uptrend here. Chart below for review.
Current Stocks/ETF's on Watch:
UFS: Daily buy signal received on this one today. Mixed on the 15 minute buy however. We didn't really get a clear 15 minute buy, however heading into the close we did start to see those indicators make some positive movement. I'll be watching this one closely tomorrow to see if we can get a clear 15 minute buy for an entry. Chart below for review.