Another gap up this morning into an overbought market.
I am still long my GLD trade from over a month ago at 108.25. This morning we are once again flirting with my stop price which is a close only at 11:00.
My JWN short has a profit and is slightly up in pre-market trading. I am keeping an open mind as to when to exit this Put in Nordstrom. The expiration is 3/17 so time decay does not start in earnest for another week or two.
Also as far as new swings ideally I would like to see some kind of pullback here. As far as new swings unless the market looks like a trend day up in the first 20 min, a gap to the upside is not the best situation to be short term swing trading into. So we will see.
Things are quieting down at home and abroad. Or at least the status quo is not changing.It is hard to imagine the Democrats keeping their anti-white house strategy for the entire 4 years. That most likely would affect the markets at some point.
Especially since there is now talk of the Democrats shutting down the government the next round of budget talks and debt increases. It is premature at this point but something to keep in mind as we approach that time period.
I typically scour the news every morning for potentially market-moving news and it is pretty light this morning. But that I am sure will change quickly.
I received an email as to why I do not mention Uber, Chick-fil-a, Under Armor or any other conservative CEOs.
I gave a rather short and nasty response to the sender which I should have waited 10 min or so to cool down:) But the final answer I gave was this:
“Since you put it that way.
1. Those entities that you described did not make a statement regarding being confrontational to the White House
2. The left boycotts are not as effective on companies as the bulk of their customers are middle America which is typically the left leaning companies base. So shorting in those situations has some merit. While if it was a right-wing business it would not have the same effect.
Now you could argue that little sisters of the poor did make statements contrary to the White House’s position. And you could argue that Chick d filet also. But both of those are religious based. Which falls into a different category.
A Business that states support for Trump is much different than a business that indicates they will not follow the law and do everything to make sure the law is not enforced. Or Nordstrom who I just shorted who threw Ivanka’s line out of their stores because she is the President’s daughter. This has set out a chain reaction where several other left-leaning CEO’s are now doing the same.
A bit different than Chick or Sisters. In any event, it would not make any different as I have stated it would be foolish to short a right-leaning business based upon a potential boycott by the left. While on the other hand left-leaning Ceo’s are giving their companies the maximum punishment because of letting their political ideology interfere with good business.
Now, let’s end it at that. You have my analysis. ”
I only mention this to point out two things:
1.In my opinion Shorting business run by the left is much more profitable than vice versa.
Middle America is where the purchasing power is. To alienate them is a recipe for disaster as we are seeing in real time.
2. Again this is not a political site. To suggest my comments are political in nature would require an overactive mind that is prone to turn everything into a political issue.
I have no intent on doing that. I am about as middle of the road as you will find. I have found myself over the years siding with the left on many issues as well as the right. It just depends on the issue, as it should for every thinking person.
Ideologues are not good for the country and are not good for the person who displays that characteristic. It prevents intelligent discussion of the issues while also making compromise impossible. In addition, to the extreme, it fosters violence, which we are seeing now.
That is all I am going to say on the subject. I hope all will respect my wishes to not turn things political. I have only gotten a few emails so far regarding this but that is a few too many for me.
If you want to follow some of my trades along with my thoughts typically given after the open you can go to @rickjswings. Typically I talk about the overall day expected with the markets and also give some levels on the ES and NQ for failed breakout scalping.
It’s my private twitter feed for the stock market and its free. Sports Handicapping is the subscription-based part of this site. But considering the cost of joining it’s almost free:)
Good Luck Today
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