Trading Plan: 8 September 2022
Nasdaq (+2.14%) reversed from the support and buyers come kept on coming in during the day and the close was quite good. It is possible to have another rally. Watching now the SMA50 / EMA20 levels and of curse the just tested support.
SP-500 (+1.83%) also come back from the support and headed to its main averages (SMA50 and EMA21). I would like to see (a little bit) more volumes to the upside, but generally, buyers keep on waiting for more confirmation during a bear market. This support seems to be strong, but if broken, we might see more red candles. For now, let’s see if we have a new rally to the upside and how far it can go.
In the news
Shipping rates are still falling, another sign that a global recession may be coming.
Market bracing for another three-quarter point hike from the Fed this month. Fed on Path for Another 0.75-Point Interest-Rate Lift After Powell’s Inflation Pledge.
Apple deal sends shares of satellite company Globalstar higher.
Netflix Hunts for Cost Cuts, From Cloud Computing to Corporate Swag.
Sectors
Best yesterday sector: Consumer Cyclical, then Utilities. Worst sector: Energy.
Best weekly sector: Utilities, then Real Estate. Worst sector: Energy.
Best monthly sector: Energy, then Utilities. Worst sector: Technology.
Sentiment
NAAIM (weekly, neutral between 70 and 90): 32.36
VIX (neutral under 20): 24.64
Equity Put / Call Ratio (neutral between 0.7 and 1): 1.00
CNN Fear & Greed: 40 (Fear)
Breadth
Stocks above SMA40 (neutral between 30 and 80): 36.27%
Stocks above SMA200 (neutral above 30): 27.38
Number of stocks that increased yesterday by more than 4%: 456
Number of stocks that decreased yesterday by more than 4%: 110
McClellan Oscillator (neutral between -100 and 100): -93.97
Earnings Reports
The work management platform, Asana ASAN 0.00%↑, popped about 20% today after announcing several positive developments. GameStop GME 0.00%↑ reports wider loss, announces partnership with crypto exchange FTX.
Noteworthy earnings reports for today:
What to trade today
Market had a strong turn yesterday and once the pressure was off, many good stocks ignited from their consolidation ENPH 0.00%↑ CPRX 0.00%↑ FSLR 0.00%↑ ARRY 0.00%↑ STEM 0.00%↑ RXRX 0.00%↑ ORA 0.00%↑ BJ 0.00%↑ LNTH 0.00%↑ EVH 0.00%↑.
I will watch CEG 0.00%↑ ORA 0.00%↑ SHLS 0.00%↑ NBIX 0.00%↑ as well.
Do your due diligence if or when placing a trade. All ideas stated here are my own and do not represent trading or investment advice.
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