Another good week for the Nasdaq, this time dragging the other main indices along meaning a broader based rally.
So, why the “but”?
Because there’s also a lot of ragged behavior out there. Because the Nasdaq and leading stocks are over-extended. Because earnings was far from consistent.
So, enjoy this run by all means, but do it by managing your trades conservatively. That means protect profits as soon as possible.
Market Outlook:
A broader rally than previous weeks.
I mentioned last week that the higher quality setups were bullish. That has seen follow-through this past week. As I look today, the quality of setups isn’t quite as good.
Watch the video for more detail.
The Main Indices:
The S&P did make its upside breakout as suggested last week.
The QQQ is in overbought territory. That doesn’t mean it can’t go further, but it does mean it’s more risky to chase it.
The IWM has broken out of its 3-month channel, even breaking above its 200-dma. I would still need to see more, like a consolidation above this Key Level, to be totally convinced.
Market Timers:
- Longer Term Market Timer (OVIsi): Still half-green and getting closer and closer to a full green.
- Medium Term Swing Timer: Bullish, like last week (this really is a fantastic indicator!)
- SPY OVI: Sparking into life as with the IWM’s. The QQQ’s OVI has gained some bullish consistency over the past couple of weeks, but the DIA’s remains flat.
Fast Filters Stock Selection:
As per the last couple of weeks, I’m still covering more bullish stocks than bearish, and the main Big Money Footprints I’m looking for are the OVI, Key Levels, Shrinking Retracements and consolidations.
Here is a smaller list of stocks that look interesting for our consideration. Remember to reference the video so you know what my sentiment is on each one:
ANSS ARMK BIDU CAR CAT CEG CPRT ENPH EWZ FFIV FITB GEHC GLD GME HII ILF IWM KEYS LYFT MMM MUR NDSN PANW PLUG RIVN RJF RMBS RUM SMCI TFC TRMB TSLA TSVT VMW WDAY WFC WOLF XP
Software Upgrades:
Same as last week …
Important design improvements and the new Watchlist upgrade will soon be deployed.
Also, soon the bearish version of Shrinking Retracements will be available in the VIP filter areas. These are so important when they are in the right context along with OVI and recent activity near Key Levels.
It’s a busy summer for us as we will release the new upgraded Journal app with an inbuilt calculator for you to be in control of risk at all times, and there will be also the TV component so you can watch education content beside the chart you’re looking at.
And finally, by the London Stocks Summit in December we should also have our new charts, which will be among the biggest game-changers we’ve ever deployed.
Stay in touch to discover more as we unveil best-of-breed applications!
Events:
With our technology improving so rapidly, we’re brainstorming how our events will be more practical-based moving forward. The idea is for you to “learn, practice and apply” all at the same time.
The Stocks Summit in London on 2nd December will be accompanied by huge new releases. We’ll also do a Foundation Day online the Saturday before the big event.
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Remember, you can play the video at 1.25x or 1.5x speed if you want to save time! I have placed all the stocks covered in today’s review in your “Latest Preview” watch list.