WilyTrader.com - Stock Picks - Dream, Trade, Grow

I do apologize for the long hiatus. Last April I took a contract job working for a major brokerage company headquartered in the area that was/is going through a major reorganization. I didn’t find out until after all the t’s were crossed & i’s dotted that effective immediately, I would no longer be allowed to post on this website while I was under their employ. Good news now is that the contract is over, the company’s moved their headquarters to St. Louis and I’m free at last to finally let people know where I’ve been!

That being said, now on to the markets!

For those of you who follow my swing trading approach, you know that I like to use a top-down method for getting my bearings on the markets–>Sectors–>Individual Securities.

S&P 500 has been range-bound for the past year and is at the bottom of its range at the moment, which is bullish to an extent. However, the weekly MAs are crossing over and the momentum is down at the moment. To me, this is short-term bullish with a big question mark as to its medium to long term direction.

The QQQQ is setting up the nicest out of all the major indexes at the moment. As you can see, it is only a short distance away from a nice FFF Fade/Long opportunity. Also, historically the Qs tend to reverse and go long once the RSI starts flirting with 20 on the Daily chart. It’s the downward volume that we need to pay real close attention to for while it had been drying up during its recent weekly downward-consolidation, it has the potential to really spike this week.

Overall, I am again, ST Bullish on the QQQQs due to the FFF+ and fact that it usually does not fall too much more than 6 points without some sort of bounce.

Dow is looking choppy/down and is the least attractive market overall, I’m not showing it as I think there are better opportunities elsewhere.

That wraps up my view of the Top, next I’ll be taking a closer look at the different market sectors. To do this, I use a fixed set of Sector ETFs so that I can get a good picture of volume as well. I’ll talk about which ones I use in my next post.

It’s great to be back everyone…Good luck out there and happy trading!