The stock market is hovering around even 30 min before the open.
Of note, nothing to speak of. Everything I watch hovering around the 0 mark.
The news today is the tax bill. This has the potential to move the markets today depending on what Congress comes up with.
My guess is that the tax bill will be very disappointing. But, that is built into the markets right now. So its anyone’s guess where we go once it is revealed.
I think that the odds favor the upside on the tax bill.
I have 2 mean reversion trades in, IBB and XNCR.
A bottom reversal trade we are still in UUP. We were stopped out of JO yesterday.
I also put on a system trade in GLD yesterday.
I did something yesterday I usually do not share, and that was a day trade and how I monitor it with stops. We traded GOOGL and you were able to follow the stops and finally the exit for a gain of about .5% over several hours.
These trades typically are hard to find. I put it on yesterday because of the strong breadth early. Then breadth tanked and I expect the stock to follow on the downside. But it held up.
For today be cautious this morning at least until the tax bill comes out.
I mentioned something yesterday about hedging into this weekend. I will say more in detail tomorrow morning. Friday is the day to hedge in my opinion. I rarely hedge but this weekend promises to be a risky weekend hold as I see it.
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