“Like human beings, stocks behave differently. Some of them are calm, slow, conservative. Others are jumpy, nervous, tense. Some of them I found easy to predict. They were consistent in their moves, logical in their behavior. They were like dependable friends.” ― Nicolas Darvas, How I Made $2,000,000 In The Stock Market
Retail Traders! What’s up? Happy weekend. Hope you are enjoying yours. Although, I might have to question your sanity if you are not enjoying your weekend — especially with Monday right around the corner.
Let’s face it — the only good thing about Mondays is that that market is open again!
And that’s a pretty good thing.
Last week was a great week for trading stories. I absolutely CRUSHED IT with a nice call in $TZOO (article here) as it broke out of a nice base and took off, eventually reaching my 1st target of $11.25 for a very respectable gain of 24.30 %.
Here’s the daily chart —
And he’s the 15 minute showing entry and target —
Now that is a thing of beauty!
Not a bad week at all.
So what does the S&P500 look like this weekend? Let’s go to the charts to find out —
As you can see — the week started out with a big dip and then recovered quickly to end flat which lets me know that the market is very undecided here.
That’s fine by me. Indecision creates unease and unease creates volatility — and volatility creates what?
Yes — we did fall out of that rising wedge — but in no way is the market ready to commit to another drop just yet — as you can see by the recovery.
We are back below the 50 day MA and that is a sketchy area to be for the bulls.
Yes, we are scratching to get back above — but scratching is scratching!
Still above the 50 week MA here — but look at those ranges — getting bigger and bigger.
That volatility is good for trading — but it can also signal a major change in personality. So I’m going to be watching these markets like a hawk!
Any drop below the 50 week — and things could get hairy!
Anyway — that’s all we have for this week.
Good luck out there.