WEEKLY GAME PLAN June 19, 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


We’re starting next week still in a red condition, despite the initial buys being about 50/50 and seeing some A and B setups (this would have us moving into a yellow condition). The reason why we’re staying red for now is because:
1. Most setups from last week got walloped (just happened to select the better ones).
2. Major indexes are choppy with sellers in control.
3. New highs are pulling in substantially on both NASDAQ and NYSE.

From a long term perspective (see monthly charts) and even an intermediate term perspective (see weekly charts) the market is simply consolidating within a broader uptrend. We don’t want to lose site of that. Even if you happen to be trading shorter term, awareness of the higher timeframes gives you a better opportunity for success.

We know that anything can happen. Friday’s action took all but the NASDAQ below the 50sma (see daily charts). We need to ask ourselves what if the market rolls over? What if the market rallies? What if the market continues to chop around?

If the market rolls over, most stocks will be hit. Being in a red condition with small sizing protects your capital.

If the market rallies, pullback buys and advanced entries will likely trigger. Taking small test positions in your best setups is a great way to get involved, test entries, make some progress while not putting too much capital at risk (it is a red condition after all).

Checkout the charts of the indexes below for a closer look at the action.

MONTHLY CHARTS (indexes) Overcall Direction = Sideways https://www.tradingview.com/x/rTlSnCr5/

WEEKLY CHARTS (indexes) Overcall Direction = Sideways: https://www.tradingview.com/x/2nZqkSOA/

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

Deep Dive Video


DISCLAIMER: Futures, stocks, and options trading involves a substantial risk of loss and is not suitable for every investor. The valuation of futures, stocks, and options may fluctuate, and, as a result, clients may lose more than their original investment. The impact of seasonal and geopolitical events is already factored into market prices. The highly leveraged nature of futures trading means that small market movements will have a great impact on your trading account and this can work against you, leading to large losses, or can work for you, leading to large gains.
If the market moves against you, you may sustain a total loss greater than the amount you deposited into your account. You are responsible for all the risks and financial resources you use and for the chosen trading system. You should not engage in trading unless you fully understand the nature of the transactions you are entering into and the extent of your exposure to loss. If you do not fully understand these risks you must seek independent advice from your financial advisor.
All trading strategies are used at your own risk.
Any content on marawealth.com should not be relied upon as advice or construed as providing recommendations of any kind. It is your responsibility to confirm and decide which trades to make. Trade only with risk capital; that is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations. Past results are no indication of future performance. In no event should the content of this correspondence be construed as an express or implied promise or guarantee.
marawealth.com or Mara Wealth LLC. is not responsible for any losses incurred as a result of using any of our trading strategies. Loss-limiting strategies such as stop-loss orders may not be effective because market conditions or technological issues may make it impossible to execute such orders. Likewise, strategies using combinations of options and/or futures positions such as “spread” or “straddle” trades may be just as risky as simple long and short positions. Information provided in this correspondence is intended solely for informational purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted.