My Swing Trading Approach

The market has yet to provide any favorable trading conditions this week. Staying light and patient here, is the name of the game, and what I plan on doing today until the market gives us something more definitive. 

Indicators

• VIX - Despite SPX trading lower for a fourth straight day, VIX managed to trend lower on the day by 3.7%. The trend since the February highs has been lower-highs and lower-lows on its chart. 

• T2108 (% of stocks trading below their 40-day moving average): The three day losing streak on T2108 suggests a light and orderly pullback for the market as a whole. 

• Moving averages (SPX): Closed a fraction below its 50-day moving average. 

Industries to Watch Today

Technology was the only sector to hold on to its gains yesterday. Financials were right behind. Energy and Basic Materials are the two sectors to avoid. 

My Market Sentiment

SPX marked its first four day losing streak in 2018, while also dipping slightly below the 50-day moving average. So far the move appears to be orderly and the volume below average.  

S&P 500 Technical Analysis

Current Stock Trading Portfolio Balance

• 2 Long positions