Welcome to the Weekly Game Plan! The 'MARA Lists' are updated in real-time. The 'Market Summary' is provided weekly. The 'Deep Dive Video' is the recording of our weekly Trading Prep DEEP DIVE.
The market has been bullish since early November and remains so. Each week it has formed a pattern that looks like a set of stairs. There’s a brief run up. A slight pull back. A couple of days of sideways action. And then back up to fresh highs. This is true for all of the indexes but is most pronounced on the Russell.
Across timeframes the ‘overall trend’ for the indexes this week is UUS (uptrends on monthly and weekly timeframes, sideways on daily).
When we look at the number of stocks making New Highs vs New Lows on the NYSE, we saw a ‘wall of green’ that has developed over the past few weeks. This is an indication of breadth. More and more stocks are participating in the rally.
Our Universe List had 21 stocks that were setting up and looked great. Of those 21, 10 of them look ready to go right now (the other 11 have a little more tightening up to do to be to my liking).
I often say that setups are what drives markets. The more high quality setups we have when the market is running like it is, the more sustainable it is. Right now, the challenge I’m having is finding room in my portfolio for all these fresh setups! A high quality problem to have!
It’s important to know when to step on the gas. This has clearly been the time to do so. However, we also want to keep both hands on the wheel and keep our eyes on the road. Should something unexpected happen, we need to be ready to act.
Best Selling Author – Trading Coach – Creator of the Trade Gauntlet – Founder of MaraWealth.com
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