Well so much for my easing back on swing trading. As you can see I went on a buying spree today. I was all set to just chill given how dead the market has been, but when my alerts started triggering I just said ‘what the hell?’ and jumped in. By 2:30 I had bought every long on my list except GGC. I was real tempted to make some sales at the close but I kept reminding myself that the MMAs suggest that we’re due for a sizeable move. Besides that, most of the stocks that I bought had oversold stochastic. So I’m going to just try to hold them until they reach overbought… pushing my stops higher as the stocks (hopefully) rise.
The NASDAQ has made a textbook move out of that symmetrical triangle. They are supposedly notorious for having false breakouts/breakdowns, and I think we just had a false breakdown the other day. On Balance Volume is starting to look better on the Naz and it’s flying on the S&P 500. And in keeping with that good volume picture both indices rose on increasing volume today. Here’s the NASDAQ chart:
I think you might be right Mike. I’m going to wait a few days to confirm the breakout.