The Stock Market is gaping up this morning lead by the Nasdaq up .5%.
Oil is on the plus side over 1%, Most everything else is on the plus side, while TLT is unchanged.
This is a positive premarket. TLT is holding it back from strongly positive.
At the close yesterday, the stock market became oversold so a bounce here is not unexpected. I was needing more downside to consider a mean reversion long, but we were getting close to putting on the first 1/4 position.
The rhetoric with Turkey is still heating up with the U.S. canceling Turkeys orders of the F-35.
What the fallout of all of this remains to be seen. But in a normal world, Turkey’s position in NATO would be reevaluated. I doubt this happens as normalcy is not the norm right now.
On the home front, we have now transitioned to 24/7 Omarosa. Then you have Antifa picking up its activity and the media coming out with a collaborative effort to blast the White House soon.
The players in this sad drama will not be happy until there is widespread bloodshed provoked by the increased rhetoric. It’s sad to watch as an outsider looking in.
It’s also sad in the context that it puts a big overhang on swing trading the stock market. You have no idea when you have a position overnight that you might be faced with a market moving negative news item.
As far as positive news in the works, it looks like the U.S. is close to working out a trade deal with Mexico. China, however, looks elusive right now. Any trade deals made will be short-term positive for the stock market.
I should be around this morning for some comments shortly after the open. I have not made any trades recently early as I have been busy on a few other things. In addition, I do quite a bit of trading I do not post. Depending on how busy I am doing that will affect my ability to share any trades.
Today should be an interesting day to see if we hold these levels and go higher. If we get a reversal and gap fill with another move lower today I will most likely be starting my mean reversion position in SPY.
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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