Current Long Positions (stop losses in parentheses): TICC ($10.28), HRS ($44.99)
Current Short Positions (stop-losses in parentheses): TFSL ($8.23), ADBE ($30.10)
Bias: 2% Short
Economic Reports Due Out (times are EST): Jobless Claims (8:30 a.m.), Leading Indicators (10 a.m.), Philadelphia Fed Survey (10 a.m.), EIA Natural Gas Report (10:30 a.m.)
My Observations and What to Expect
* Futures are strong up over 1%.
* Asian and European markets are seeing gains of 1%-2% across the board.
* Yesterday, the bulls were able to avoid further selling, and keep the price action within the consolidated trading range from October.
* Today’s gap open will put the S&P 500 in place to reclaim the 20-day moving average that it lost on Tuesday. Watch for whether this key average acts as support, as it done previously.
* Markets are oversold on a short-term basis, which should further help the bulls today.
* The one thing to be leery of in this rally is whether it is a dead-cat bounce. It is very typical to see these extreme bounces in the market before resuming the selling efforts.
* We’ll have POMO every day this week. The full schedule can be found here.
* The main goal for the bulls today will be to avoid a large and inevitable gap-fill (whether or not that’s today) and ultimately retake the 20-day moving average.
* The bears should do everything they can to break early morning lows and fill this gap, and then get below yesterday’s lows.
Actions I Will Be Taking
* Will look to add one or two new positions to the portfolio today (a long and a short).
* Tightened the stop-loss in TFS Financial Corporation (NASDAQ: TFSL) to $8.23.
* Will look to tighten my stop loss in Harris Corporation (NYSE: HRS) on market strength.
* Follow me in the SharePlanner Chat-Room today for all my live trades, including my day trades.
The SharePlanner Swing-Trading System is a proven trading strategy that has outpaced all the major indices with an 8-year return of over 1,010%. This year alone it is up 29%, with 64% of the stock picks being winners. It’s an easy trading system that requires very little effort after you buy the stock and great for those who can’t watch the market all the time! Find out more by visiting SharePlanner.com.