Hello Everyone,
The SPX/QQQ put in reversal candles on Friday and continued lower today (reverting back towards their respective 9 day ema's) as we had expected some unwinding after getting extended. Chairman Powell on Capitol Hill the next two days so we will likely see continued volatility. Will review thoughts in tonight's audio.
Thursday Comments
: Well, yesterday we did indeed get a quick pullback to relieve and as expected (see Tuesday comments), the dip was bought up as Liquidity remained favorable. This will be something to monitor later this month as we may see Liquidity fall due to the TGA refill if not from RRP. Many names not getting very stretched so continue to raise stops and follow your plan. Sentiment is also showing exuberance (that alone is not a sell signal) but something to factor into your risk profile.
We have had some terrific trade ideas again this week so hopefully you were able to catch a few and thanks to all for sharing some other setups. Much appreciated.
ES Support 4430 4421 4405 with resistance above 4447-55 4466 to monitor overnight. Will refine again and update in trading community prior to the open tomorrow.
Please take a moment to look at the trade ideas.
