$SPY we started the week off with on a very bearish tone as we gapped below Friday’s low and continued to trade down to SPY 188. For the rest of the week the market made an effort to stabilize sideways and managed to recover most of Monday’s drop by end of day Thursday. All of the action up to Thursday’s close seems par for the course for this type of environment, but it’s Friday’s session I think is worth writing about.
It was the first Friday of the month so that meant we were scheduled for monthly unemployment data before the market opened. For the month of the September the data came in weaker than expected, below analysts expectations, and the market reacted negatively to it as the SPY traded lower in pre-market trading.
The regular session opened up at the prior two day lows, and we saw price push lower extending losses to over -1.5% to the downside by mid morning.Read More
This weekends post is going to be using Heiken Ashi candlestick charts. I’m not going to describe how they’re different, you can read more about them here. Briefly, they help smooth out price, show trends, and overall paint a cleaner picture. They do this by using a modified (averaged) calculation of determining the high,low,close,open of each bar.Read More
And they’re doing so on strong internals, with supportive advancing to declining stocks.
While nothing says this rally cannot continue it’s worth looking at the daily time frame to understand where you are contextually in the big picture. We’re now running into the previous breakdown areas from last Friday and significant areas that held as support earlier in the year.Read More
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Monday August 24, 2015 was the craziest session I’ve ever traded.
Okay maybe it was tied with the flash crash of 2010.
My trading days didn’t start until the end of 2009. So that means I never experienced first hand events such as the dot com bear market of 2000 or the financial crisis of 2008. I was involved in the elevated volatility in mid 2010 and then again at the end of 2011, but 8/24/15 really seemed to take the cake.Read More