SPX Is Setting Up To Retest The All-Time Highs Again From January

My Swing Trading Approach

Should the market pullback today, I will look to spot any of the stocks that are providing a solid dip buying opportunity. Should the market continue higher, I'll look to add 1-2 new momentum plays to the portfolio. The 2801 price level remains key going forward. 

Indicators

  • Volatility Index (VIX) - Looking to break a key support level here. Closed right on a two month support level at 11.64, following a 4.5% decline on the day. I suspect that an attempt at a bounce on the VIX is likely in the cards here. 
  • T2108 (% of stocks trading above their 40-day moving average): Another diverging day, as SPX finished higher, T2108 managed a 2% decline to close at 51%. 
  • Moving averages (SPX​): Price is trading above all the major moving averages. 

Sectors to Watch Today

Technology is back and the go-to sector for traders. Energy - entirely unpredictable still. While there are times it does well, it lacks day-to-day consistency of any kind. Staples very strong and breaking out of its base. Telecom looking to establish another higher-high in its existing uptrend. Utilities breaking out of an eight month long base. 

My Market Sentiment

Friday's follow through was important for the bulls, and while breadth was poor, we saw another example of how a handful of stocks are managing to propel the market higher on their own. SPX is once again setting up to retest the all-time highs again from January. 

S&P 500 Technical Analysis

swing trading strategy report 258

Current Stock Trading Portfolio Balance

  • 3 Long Positions

Click here to download my Allocation Spreadsheet.

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