User: Ryan Mallory: Portfolio Update: Trading Plan for July 23, 2012 | SharePlanner
Trading Plan for July 23, 2012 | SharePlanner
Pre-market update (updated 8:30am eastern):European markets are trading -2.1% lower.. Asian markets traded in excess of -2.3% lower. US futures are trading -1.5% lower ahead of the market open.
Economic reports due out (all times are eastern): Chicago Fed National Activity Index (8:30am)
Technical Outlook (SPX):SPX had a significant sell-off on Friday, with heavy continuation today. The current uptrend remains intact above 1340, after that. A 'lower-low' would be put in place at a close below 1325, the latter of which would make this market notably bearish. Sell-off comes, after a few days being short-term overbought. Volume continues to increase over the past four trading sessions. On 7/18 we managed to break through the descending trend-line off of the 4/2 highs (see chart below). But not this is starting to look like an incredible 'head-fake'. Watch the SPRI that I posted this past Sunday and how it shows us near-ready for the reversal signal. Also note the price resistance the SPX is up against on the weekly chart. The VIX remains under 17. A push back above 20, would increase the bearishness of the market. 30-minute chart shows a nice channel uptrend being threatened by today's early morning action.
My Opinions & Trades:Going to allow stops to do their work today, and let FB short run as much as possible. Stopped out of TPC on Friday at $12.08 from 12.43 for a -2.8% loss Stopped out of CIE at $23.43 from $24.22 for a -3.3% loss. Did not add any new positions on Friday.
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