WEEKLY GAME PLAN June 25, 2022

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 summary below is my interpretation of the data in the ‘Market Mood Log’ in the spreadsheet above:

  • Indexes rallied off their lows: The indexes rallied off their lows this week and created uptrends on the daily timeframes, sideways trends on the weekly, and downtrends on the monthly. What’s this spell??? CHOP! It’s a transitional phase for both sides. The indexes generally paused near the 21ema, a natural spot to do so. If they breakthrough, they have a down trending 50sma to contend with. If the rally fails immediately, look for lower lows. Also, look at the weekly timeframes. The rally occurring here should come as no huge surprise. The S&P 500, NASDAQ, and Dow were each at major multi-year structural levels.
  • New Lows still outpacing new highs: New lows continued to outpace new highs for the week, even with the rally.
  • Distribution declining: The Dow is down to 2 distribution days over the past 10 while the S&P 500 still has 4. Its just enough of a lightening to allow for a rally. If we look at both the S&P 500 and the Dow, both started encountering distribution near the 50sma during its last rally in early June.
  • There are 27 stocks total on the trade ideas list. 24 of them or short ideas. The 3 longs are only in the neighborhood. It would be exceedingly rare for a sustainable rally to occur with so few setups.
  • Open Trades: I closed out COP on Thursday, locking in gains. I am now fully cash.

HOW I’M PLAYING THIS HAND: I will be on vacation next week and am not taking any trades while I’m away. There are, however, a number of very interesting looking short ideas. Please see the ‘Trade Ideas’ list.

Checkout the charts of the indexes below.

MONTHLY CHARTS (indexes) Over all Direction = Down: https://www.tradingview.com/x/noRcegFq/

WEEKLY CHARTS (indexes) Over all Direction = Sideways: https://www.tradingview.com/x/BOr9Rg31/

DAILY CHARTS (indexes) Over all Direction = Up: https://www.tradingview.com/x/6heNEQbV/
(on the lower right is FFTY, the ETF that tracks the IBD 50)



Elite Members go to Elite Training or click here for Developing a Useful TRADING JOURNAL in Google Sheets (also works in Excel) (Mike)


Trade Ideas, setups for the week ahead and group discussion (Mike)

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.