Hello Everyone,
Yesterday we saw some gyrations around the FOMC decision and formed a triangle for on the SPX which resolved to the upside producing a range break (above December highs) which carried over to further strength today on all the indexes except the Dow Industrials. As discussed a few weeks ago, traders were rotating out of previous winners and into tech bolstering the Nasdaq/NDX in the new year. While tonight's results from mega tech showed misses the reaction down has been muted thus far after hours. QCOM though did come under some selling pressure after hours. No change in trend with the bulls still in control but be mindful now that prices on SPX/QQQ/IWM are not extended further from their moving averages - just a way of saying the risk/reward is not as attractive so remain prudent with new entries.
Tonight I will review many trade ideas from last weekend and a few others as many of those had nice moves. Lastly, tomorrow we have monthly payroll report to wrap up a very busy news week.
Please take a moment to look at the trade ideas.
