WEEKLY GAME PLAN August 21, 2021

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.

Market Summary


The market mood remains in a red condition heading into next week. There’s a few reasons but the 2 biggest are the chop on the indexes and the number of stocks making new 52wk lows outpacing the number of stocks making new 52wk highs on the NASDAQ all week long.

Here’s a summary of what I’m seeing presently:

  • Major indexes are extremely choppy. If you open up the spreadsheet above and look at the ‘market mood log’ tab, you’ll see how the market flip flopped back and forth between uptrend, sideways, downtrend, and back to sideways all week! That’s the equivalent of a laundry machine on the spin cycle!
  • The New Highs vs New Lows list is heading south. New Highs on the NASDAQ remained in the low double digits while new lows were consistently higher and often in the triple digits. The list on the NYSE began to follow suit last week as well with new highs drying up and new lows expanding.
  • Distribution Days are few right now. This is surprising given the chop and one of the reasons why I feel more chop is likely in store vs the market breaking up or down.
  • There are 37 stocks total on the trade ideas list. The majority are in the neighborhood which means they need a bit more time. 3 look solid to me and are ‘B’ level setups.
  • My 1 new trade from last week is positive. I’m holding FA as a short term swing and closed the week green.
  • 5 of my last 10 trades were winners. This is within my historical batting avg about 40%.

The setups I’m seeing are interesting but this is still an environment where I want to exercise caution. Only trade what I perceive as high quality setups. Trade lightly. Take quicker gains. And play defense. I’m planning to place orders for PKI, SPT, and PAYC to start the week. Stay tuned and watch the ‘action list’ for updates every day.

Checkout the charts of the indexes below.

MONTHLY CHARTS (indexes) Overcall Direction = Up: https://www.tradingview.com/x/NgAVg3Et/

WEEKLY CHARTS (indexes) Overcall Direction = Sideways: https://www.tradingview.com/x/s6AzPWR0/

DAILY CHARTS (indexes) Overcall Direction = Sideways: https://www.tradingview.com/x/DPC1OJOR/
(on the lower right is the image of stocks hitting new highs vs new lows on the NASDAQ & NYSE)


How to Find Leading Stocks using RELATIVE GROUP ROTATION (Presented by Coach Stuart Chalmers)
Post Analysis of Recent Trades


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