Trading Prep DEEP DIVE September 18, 2020

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.

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MARKET MOOD: There’s an absolute battle going on between the bulls and the bears right now. You can see it in the price action. Take a look at the weekly charts of the major indexes.

The $COMPQ is beginning to fall further below support. The $SPX is testing support. And the other indexes are all hovering around it.

Look at how the $RUT $NYA and $DJIA are all above their 50smas. From the price action alone, the bears are winning the day but the bulls haven’t left the arena.

Now lets consider the recent clustering of distribution. Right now the distribution day count is 7 on the $SPX the highest its been since July. Combine that with the fact the $SPX is trending below its 21ema and just closed below its 50sma is significant.

Turning to the UNIVERSE LIST, I found 15 setups… 11 were bearish and 4 were bullish. This is very telling as well. The setups which fuel uptrends aren’t there.

As a swing trader, I’ll continue to sit and wait. As a day trader, there’s lots of opportunity.



There are some really strong day trading candidates for next week and a few interesting looking swing trades.

Since we’re in such a choppy environment, (see ‘market mood’) I’m not planning to take any of the swing trades. I’ll just be watching for now. Should that change, I’ll send out an alert in the Trader’s Mindchat Room.

Here are the Swing Trade Ideas and the Day Trade Ideas for the week: https://docs.google.com/spreadsheets/d/1a6isZPSqTrESsJNWunOXl7Fgn0JMDhoFKU7qNOiDzb0/edit?usp=sharing



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