Saturday, October 12, 2013

Stock Market Video - Outlook and Setups for Columbus Day Week - "Tricky, Tricky Market"

Hi traders.   Volatility was crazy this week as Idiotville, DC continues to hold the market by its balls.  The recovery of the past two sessions was quite impressive, but there are also a lot of warning signs out there, particularly with how former leaders acted, so it's going to be tricky going forward.  My main concern is that action of the (former?) leaders like LNKD, TSLA, FB, NFLX, NQ and others this week versus the action of the overall market.   I also saw much less quality in my long scans this weekend than I have for the past four or five weekend which is a concern to me.  I discuss these issues in the video.

For example, my "Terrific Twenty" for the week is shown below.  The fundamentals and quality of these stocks is much worse than that of previous weeks when the names mentioned above were populating the list.  However, the chart patterns of many of those names aren't worthy of being put in a list of the top twenty stocks for the week ahead and so they are absent and this list as a whole is lacking.  Maybe this won't matter, but I think it is important.

Good luck in the week ahead.   I think this market is very tricky at the current juncture and neither a big move back down or a giant squeeze higher would surprise me going forward.  I don't like that feeling as a trader because I don't feel like I have an edge, so I may remain mostly in cash until things settle down and the issues holding this market hostage at this moment are resolved.   

1 comment:

Anonymous said...

Thanks for the video. Can you please tell us how you choose your super20 stocks of the week. And do mind sharing your watchlist on weekly basis?