Last Thursday’s generalized weakness / reversal may be proving to be more of a shakeout than genuine distribution throughout the market. Of course, only time will tell and in hindsight it “will look so obvious” for the way things will play out - however our main priority is simply to follow price and manage risk.
Went through 1000s of charts over the weekend and came across an abundance of sound setups - leaders continue leading, sectors remain hot with leading thematics and breadth continues expanding well.
General Market Overview
Daily:
Weekly:
SPY 0.00%↑ Regains most of the ground lost from Thursday’s session as buyers showed up well at the 10EMA on an intraday basis last session to close out right at the highs of the day. Weekly continues moving through areas of significant resistance as we trends upwards:
QQQ 0.00%↑ A nice strong-closing inside day last session to gap above and reclaim the 10EMA - would welcome additional tightness here as we build out another potential pivot:
ARKK 0.00%↑ Wide ranges over the last 2 sessions as we pulled back in to the 20EMA on Thursday to then gap and go last session and close strong right at the highs and over the prior days HOD - strength:
IWM 0.00%↑ Like how this is attempting to tighten up below this 197 spot with a good inside day above all key moving averages:
MMFD - Percent of Stocks Above 5-Day Average
MMFI - Percent of Stocks Above 50-Day Average
Fear & Greed Index
Themes
Seeing some strong themes throughout the market and like the generalized strength we are seeing in such stocks - Chinese names have been rocketing higher fuelled by talks about a potential stimulus deal while bitcoin-related names remain momentum leaders:
China
Bitcoin-related stocks continue setting up well as they pulled back in to key moving averages and are now consolidating below descendng trend lines:
Leading Stocks Analysis
Session
AVERAGE: +3.65%
UPST 0.00%↑ Excellent weekly breakout out of this LARGE base and now continues trending higher. Clearly a momentum leader and remains one to watch for additional setups:
IOT 0.00%↑ Still LOVE the shape this weekly has, just wish it wasn’t such a frustrating one to trade on the daily. Nonetheless very difficult to completely ignore how this is looking here:
TTD 0.00%↑ Mentioned how this was pulling in to the 20EMA in a controlled manner just a few sessions and now quickly found buyers to push +10% off that area:
U 0.00%↑ Thought this had potential to get going in Thursday’s session but was kept down by general market weakness - holding the important 20EMA as of now:
APP 0.00%↑ Remains a strong trending name that acts well - consistently building new bases and pushing out with little hesistation:
TSLA 0.00%↑ Watching for a pop above this descending trend line to reclaim key moving averages and potentially start trending upwards once more:
AI 0.00%↑ VCP look to how this is contracting along with the 10/20EMAs getting nice and tight right around price - watching for a break above this descending trend line and a potential move away from this base:
RIVN 0.00%↑ One of the strongest names in the market and would be wise to keep tracking it - tried to get going a few times last week but eventually stuffed its breakout - watching for that to change here:
SHOP 0.00%↑ Consolidating right below this descending trend line while price sits right above the 10/20EMAs - may catch a pop:
Week
AVERAGE: +5.31%
Individual Sector Analysis
Session
AVERAGE: +1.19%
KWEB 0.00%↑ Clearly shows the strength in China names as of late and watching for potential continuation through this base pivot - a break out above may fuel additional momentum:
SMH 0.00%↑ Semiconductors wasting no time at all and are quickly back to new highs after pulling in to some KMAs:
XLY 0.00%↑ Resting well on the short-term KMAs here and watching for a potential pop above this DTL:
XLK 0.00%↑ Clear strength still notable in Tech - love how this is trending higher since the breakout above 152:
XRT 0.00%↑ Retail with a VCP look to it as the 10EMA continues providing support:
Week
AVERAGE: +1.25%
Scans
52 Week highs
9 Million breakout
+10% Breakout
Pocket Pivot
Upcoming Earnings
Personal Portfolio Update
SIGA 0.00%↑ Bought the 1 min ORB on this gap-up which worked well initially but quickly reversed to stop me out:
Bot 6.40
Sold 6.23
P/L: -2.65%
URGN 0.00%↑ High-volume close:
Bot 17.96 & 18.11
Trimmed into strength
Holding runners at p/l: +25.4%
Still holding OSTK 0.00%↑ with stop at last session’s low:
Watch List
Reminder to NOT force anything and rather wait for your edge to show up clearly!
Pivots
CAVA 0.00%↑ looking explosive:
High-Tight Flags
NKLA 0.00%↑ - main focus: