Sentiment changes on a dime in these markets. This morning we are looking at a gap up with the twitter universe in good spirits!
Myself, I am a bit cautious but after a 2-day pullback what else can the market do but now go up:)
A game changer this week is Comey testifying before Congress. The markets will be watching and if Comey does not come close to the Hype that Trump “obstructed Justice” expect the markets to take off like a gunshot. On the other hand, if Comey gives a “credible” story that is very incriminating to Trump, expect the opposite to the downside.
Which way are you betting:) I bet that his testimony will be a complete letdown to the Democrats and Never Trumpers. After all, the mainstream media has created unrealistic expectations in my judgment. Let me also make this comment and take it for what you will, If you have a zealous opinion or interest in this you need to take a deep breath and ask yourself if all this is worth it. Politics has become such a
Politics has become such a blood sport now, while also having corruption that is staggering that an everyday citizen is best not to have politics consume them. It is not a worthwhile endeavor in my opinion. If you wish to get zealous, pick a cause to spend your energy on that you can do some good. Human trafficking, raising the standard of living for everyone, the environment (outside of the political realm) and more. To devote your time and energy by letting politics consume you is a dead end.
Myself, I should take that advice, however, it is essential for me to weigh things in relation to the markets. And again, on any given year I could vote for a Democrat or a Republican. It all depends as does every decision we make in life. Nothing is or should be dogmatic.
Of note, Oil down and that is about it.
Most everything else is around the neutral mark.
I am still sitting this one out in the short term. Although in hindsight I could of went long at the close yesterday in a biotech I have been watching. I need not only a premarket checklist but also a before the close checklist! I would not have missed the trade if I had that.
On my twitter feed, I have been showing a few techniques for scalping the minis. In particular, the mini NASDAQ using the 5 min and 1 min chart.
The caveat is that you need to realize you are at a severe disadvantage scalping the minis. There are automatic programs that can input variables and think at speeds you cannot comprehend. Combine that with the virtually unlimited resources and 0 lag executions, sitting at home on a pc with a cable modem just does not get it for scalping.
On the other hand, It is a fun endeavor. Watching the charts and developing scalping strategies. So if you’re looking for a challenge and some entertainment have at it.
Yesterday we had two reverse breakout trades both of which were stopped out. The third would have been good of course:) But I usually like to limit my scalping endeavor to 2 losses at the most in the morning.
Today I plan on looking at the Keltner Channel reversion trades if the market is conducive to that. That means no trend day. If it is a trend day then I will be trading in only 1 direction which limits the number of trades.
So if you wish to follow along just follow rickjswings. It is free. In addition, expect to lose if you are taking these trades. It is for entertainment only!!!
Let me close by saying there are more ways to scalp the mini’s then you can imagine. And most just do not work in the long run. The lag time on a PC makes it unrealistic to think you can compete with the big programs.
Now, swing trading ETFs and stocks is a different thing entirely. Your being a small trader works to your advantage in many instances. Which I will get into at another time.
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