The Stock Market is gaping down this morning over 1/4%. TLT and Metals are positive. Oil and financials are sharply off.
To me, this is a negative premarket bias. I would not suggest attempting any gap fills today. This type of Premarket bias would be conducive for a trend day down.
If that happens, I will be buying at the close to start some mean reversion trades in SPY.
The big news this morning is the Kavanaugh hearing yesterday. If you did not watch I urge you to watch Kavanaugh’s opening statement. I am not one to cry easily, but I was tearing up watching an innocent man defend his integrity.
It was an experience you will never forget and one you most likely will never see again. Raw, truthful, emotion.
In a normal world now, Kavanaugh would be a cinch to get the nomination. However, there is no doubt the Democrats are working overtime looking for the next slander to delay this proceeding. Tuesday is a long way off and you can bet there will be something else coming up.
As always, it was overdone. Rather than the subtle approach, they went the leader of a gang rape team route. Amazing to see such blindness to appearances.
The scary part is, every Democrat on the judiciary committee(and almost every Democrat) had no problems supporting this story. And of course, the 4th column, the protector of freedoms, the press went with it en mass.
Now, I am not saying there are not valid objections to Kavanaugh. But they are based upon where you are on the constitution and other issues.
I bring this up this morning, not only because of the once in a lifetime experience of seeing an honest person defending his integrity with such raw passion but also how precarious the stock market is on.
The other issues are much the same as yesterday.
As I said earlier, I am looking to start a mean reversion trade in SPY if we get a sharp drop today. I will post the trade on my private twitter account if I take the trade.
Otherwise, the internals would have to improve a bit today before I would consider a swing trade today.
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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