fbpx

WEEKLY GAME PLAN March 5, 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.
MARA List

Market Summary

MARKET MOOD: Red

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

  • Choppy / Bearish Action Re-established: The weekly trends on each of the indexes pushed higher while closing near their weekly lows. This created sideways action with a negative bias. On the daily timeframes, the NASDAQ and Russell 2000 broke short term support areas and established short term downtrends.
  • New Lows picking up again: The NASDAQ ended the week with -214 new lows. The NYSE began hitting triple digit new lows as well.
  • Distribution remains elevated on the Dow: The Dow has had a distribution cluster (4 or more distribution days over a rolling 10 day period) for the past 2 weeks. Every time a distribution day has fallen off, another has been added.
  • There are 38 stocks total on the trade ideas list. Trade ideas are picking up though not much quality… I didn’t see many short-able patterns either in the ETFs I track. Many have already broken down, are extended, with no clear setup. On the flip side, energy, metals, and agriculture continued to rip higher last week and the majority of setups last week produced positive returns.
  • Open Trades: I bought ERF last week. It hit my first scale out and my stop is above breakeven. See ‘open trades’ log for details.

HOW I’M PLAYING THIS HAND: I’m not adding any new trades to begin the week. 3 ideas looked decent (MPC, CNC, and TSCO) but each scored below a 7 on the gauntlet. Given a choppy, weak market, I’m looking for 7s or better.

Checkout the charts of the indexes below.

MONTHLY CHARTS (indexes) Over all Direction = Down: https://www.tradingview.com/x/iyVq6LXx/

WEEKLY CHARTS (indexes) Over all Direction = Sideways (negative): https://www.tradingview.com/x/AUdKfw8V/

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

MARKET MOOD REVIEW

LESSON

Elite Members go to Elite Training for this week’s lesson Danger Signal and When To Exit Early (Mike)

TRADE IDEAS

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.