Sell Swing Market Update and Big Stock Scan June 8

Jun 8, 2015: 1:59 PM CST

The sell-swing continued this morning although mid-day we’re seeing a possible big bullish reversal.

Is a reversal building off the 2,090 target? Let’s chart the evidence.

Start with this morning’s update “The Battle to Hold the S&P 500 Trendline” for more planning details.

As we update today’s intraday session, we’re going to tilt bullish/reversal due to the lengthy positive momentum and internal (TICK) divergences as highlighted.

The powerful bullish impulse we just saw resulted in a New TICK High – a Kick-Off Signal of possible Reversal.

Look to play bullishly above 2,085 and 2,090 toward 2,100 or higher than that.

Otherwise, a break back under 2,085 – and then under 2,080 – is the sell-swing/trendline breakdown bearish catalyst.

Let’s see what our Breadth Chart reveals about current market strength (or weakness):

Breadth is mixed but the strongest sector today is Staples, followed by Health Care and then Financials.

The three Defensive Names:  Staples, Health Care, and Utilities – are strong during toady’s sell-session.

Again, we’re looking for a possible reversal so if Sector Breadth shifts bullish, be sure to shift with it.

Here are today’s strongest trending (intraday) names – candidates for pro-trend continuation:

Deutsche Bank (DB), Tesla Motors (TSLA), Sealed Air (SEE), and CyberArk Software (CYBR)

Bearish downtrending candidates include the following stocks from our “weakness” scan:

Sprouts Farmers Mkt (SFM), Michaels (MIK), WYNN Resorts, and Delta Airlines (DAL)

Afraid to Trade Premium Content and Membership

Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.

Corey Rosenbloom, CMT
Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).

2 Comments

2 Responses to “Sell Swing Market Update and Big Stock Scan June 8”

  1. Dean Says:

    Bullish Reversal is quite possible, but the thing we need to be very careful about is how we plan and work with money management, if our money management level is not strict then we won’t be able to succeed. It’s my great fortune that I have got epic company OctaFX to support me since they have free analysis service, I can follow it to avoid any kind of silly trades and that really leads into good profits every single time for me without risk.

  2. Sweety Says:

    I really enjoy watching reversals since I am a scalper and I
    can make fair bit out of that, but of course we need to be very careful in how
    we work out things, it’s just small mistake that could kill all the good work
    we might have put in previously. I am extremely lucky that I trade with OctaFX
    broker where I get massive rebate up to 50% on every trade which includes
    winning and losing one, so that’s why this is so good and helps me easily.