It is all about NAFTA this morning. Is it a gap fill or gap continuation trade this morning? My thoughts

It looks like Trump has done the impossible. He has successfully renegotiated NAFTA and the markets are loving it.
The indexes are up well over 1/2% an hour before the open.
Of note, TLT is down sharply, Metals soft, Financials strong.
This to me this is a very positive premarket bias. This is not the time to trade a gap fill. I would be looking for a gap continuation trade today.
The news at home is as chaotic as ever. Flake, the chaos agent, threw a wrench into things when he insisted on a 1-week delay for the FBI to do another investigation into Kavanaugh allegations.
Then, after creating chaos, he heads to do a show on TV and makes a statement that he never would have done that if he was running for reelection.
I have to hand it to him he has set a new level of stupid for Senators.
It looks like Kavanaugh will be confirmed now within a week or so. The odds keep improving on his confirmation.
This is important in that Kavanaugh going down, in my opinion, would have a very negative effect on the Stock Market. It would mean that the Senate had broken down as a viable governing entity.
The market would not react kindly. Keep a watch on it.
But the big news this morning is NAFTA. It has been renegotiated. With very positive implications for the U.S. Like the tax cuts and deregulation, this is going to create a very large tailwind for the stock market.
Not much on the international front. Although it appears that very positive developments are occurring in N.Korea.
The question market on the international news is Russia, China, Iran, and Syria. This is going to an ongoing thorn for the markets as tensions rise and fall. It is something you want to keep track of also.
Again, a lot going on. Trade price and keep the news in the back of your mind. But the saying price is king could not be more accurate.
I have a number of trades this morning. I doubt I will be looking for a swing trade this morning, but I will be looking for a good entry in SPY as a gap continuation trade.
I can say that this could well be a very strong trend day.

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


RickJ’s Handicapping Picks

Skype: Ricca


Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Contact Us

We're not around right now. But you can send us an email and we'll get back to you, asap.

Not readable? Change text. captcha txt
Rickj's Handicapping Picks
Sign up now for our  newsletter. Includes handicapping tips

NFL Plays Last season was the best in 20 Years!!! MLB we are on track for back to back 17 unit seasons.

RickJ's Handicapping Picks  The latest in positive EV handicapping Techniques Overnight Plays in MLB are sent out around 3 to 4 PM PST the day before Come join us for a fun and profitable Pro Sports season!!!  
Sign up now  for a fun and exciting football season

Positive EV Handicapping

Do you know the important clues that help determine which side has +EV?
  • Learn about Reverse Line Moves and how they apply to each sport
  • Learn about being a contrarian and using public % numbers to get an edge
  • Learn about the seasons within a season that all sports have
  • Learn key numbers in all sports

Sign up to get updates that will help you with your sports handicapping!