View: Trading Plan for June 15, 2012 | SharePlanner
Trading Plan for June 15, 2012 | SharePlanner
Today's Trading Plan for June 15, 2012
Economic Reports Due out (Times are EST): Empire State Manufacturing Survey (8:30am), Treasury International Capital (9am), Industrial Production (9:15am), Consumer Sentiment (9:55am)
Pre-market Update (Updated 8:30am eastern):US futures are slightly higher ahead of the open. European markets are trading 1.2% higher. Asian markets traded on average -0.6% lower.
Technical Outlook (SPX):Solid day for the bulls yesterday, as price action is finally starting to move out of the 5-day consolidation range. To spur on the bulls to additional buying, there needs to be a close above 1334 Today is options expiration so there is an increased likelihood of volatility in the market (as if we don't have enough already). 50-day moving average could create headwinds for SPX at 1347. Continue to follow SPX's 10-day moving average for short-term support in this market. Inverse head and shoulders forming over the past month - currently working on the right shoulder - could see confirmation today. IH&S pattern very obvious on the 30-minute chart. SPX is no longer overbought. Volume remains relatively average. The markets in general have pulled back roughly 10% off of its recent highs which is typically considered a "pullback" in the markets. A break below 1306 would represent a resumption of the downward trend. VIX is still elevated and rests above 21 - below 20 and the bear's hopes for a break lower is greatly hampered. However, it did take a pretty solid hit yesterday.
My Opinions & Trades:I am looking to add more long positions to the portfolio going into today's open. Conditions are becoming more favorable. Careful about trading in and out of this market too much - I'm playing with my original stop-losses which is usually 3-4% off of the entry price and gives me enough wiggle room to weather the choppiness of this market day-to-day. Day-traded SDS yesterday and sold at $16.51 from $16.58 for a -0.4% loss. Bought PCYC at $40.66 yesterday. Currently Long PPL at $27.65.
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