/ES looks to be forming & beginning to breakout of falling wedge on daily. “…with a Falling Wedge, the trader ordinarily can take his time about making his commitment for the ensuing rise.” Pg. 143 TAST Have to say I’m feeling tempted to try an options swing, but after reading this chapter maybe I have time to think better of it. Last wedge that I identified, I didn’t take action on and missed a massive move.
Most sectors rallied yesterday save utilities, consumer staples, & real estate. Exposure to falling wedge may be possible in tech as it seems to be exhibiting the same pattern on daily.
(5:52am | ES dumped, right at 5:30, was this due to the unemployment rate? there are economic evens today, the important ones apparently being ‘Non Farm Payrolls’ & ‘Unemployment Rate’. Looks like Unemployment Rate has stayed the same month over month. What does this mean, is it significant, how doe unemployment numbers affect market sentiment?)
Communication Services
- Most charts exhibiting same premarket activity, slight gap down from close.
- META | Broke above significant 170 level yesterday, trailed back down after close & continuing to trail down in pm. could be decent area to watch for hold & bounce off
Consumer Discretionary
- Most charts exhibiting weakneess in premarket, apparently contingent on /es, however HD looks like it’s golding
- AMZN | Looking to open gapped down, weakness in pm, opening near yesterday’s open, gave back all gains in PM, /ES looks not to be holding.
- HD | Should it take 287 level, seems to be considerable potential for gap fill. Set alert at level.
- TGT | Was great play yesterday filled gap. If momentum continues & 150 level is breached seems to be potential for more upside
Consumer Staples
- Sector names showing scattered activity with a few names showing what seems to be reasonable premarket strength
- COST | Considerable gap up approaching 500 level. Exercise caution at this significant zone. has not breached in premarket, if market doesn’t continue to exhibit strength, this will likely be a swift retracement to the downside. Could be ideal Short candidate. Must follow market.
Energy
- Holding in premarket seemingly across ethe board, with some exceptions.
- ENB | Considerable gap up, aberrant from other names.
Financials
- May be a sector with promise, multiple names gapping up aggressively, why?
- JPM | After considerable run yesterday (which I missed) gapping up in premarket, breaking through significant daily 115 level, as are BAC, WFC. May be decent area to play from to set as stop.
- WFC | Same as JPM
Healthcare
- Nothing looking particularly attractive, all in seeming consolidation areas.
Industrials
- Unclear
- BA | Not sure if I’m seeing promise or if this is jus ta names with levels I have. I’ve consistently lost on this name so it may be worth abandoning entirely if I’m unable to read it right. Currently in gap zone that it swiftly ran through yesterday, again I missed this. Possible to retract back through? Gapped down in premarket.
Information Technology
- Across the board gap downs. Are these stagnant unemployment numbers affecting?
- AAPL | Looking to open as gap down below 145.5 level which could be good level to play from.
- NVDA | Approaching 155 level after significant gap down. If gap fills this could be good base to play from.
- ORCL | Breaching 71.5 level premarket, in demand zone from yesterday currently. nothing majorly promising about chart.
Again, nothing looking immediately promising, doesn’t look like market is going to break from wedge at this moment, only names holding seem to be financial names, and even they have taken a hit along with market, though the initial sell off in /ES has had a considerable bounce. Computer lagging, or program, cant tell, or internet.