November 3 Breakout Market Update and Stock Scan

Bycjrosen

Stock prices continued to creep higher after breaking above the 2,000 level in the S&P 500.

Sellers stopped out and buyers entered, helping to propel price higher in a breakout event.

Here’s our updated levels as the S&P is inflated to all-time highs:

The impulsive breakout above 2,000 on Halloween set the stage for a continued bullish breakout and movement up away from the 2,000 level.

The instant (simple) target was the prior all-time price high into 2,020 … and then even beyond that.

Ultimately, the market remains bullish while moving through “open air” and all-time highs beyond the 2,020 level.

The market thus becomes cautious on a re-break or potential Bull Trap under 2,020.

Breadth is mixed at the mid-day period:

Our strongest sector is the BEARISH (or defensive) Utilities Sector which doesn’t bode well for the bulls/buyers (it actually argues for a potential bull trap outcome).

Yet we see a pocket of strength in the BULLISH or offensive sectors of Financials, Discretionary, and Technology.

Money flow is mixed at the highs which reflects indecision and a lack of bullish conviction – yet price trades higher.

We have potential bullish trend continuation plays in the following stocks:

Omnicom Group (OMC), Walgreen (WAG), Apple (AAPL), and Whole Foods Market (WFM).

Potential downtrending candidates exist in stocks showing relative weakness today:

Laboratory Corp (LH), Quest Diagnostics (DGX), Sysco (SYY), Home Depot (HD).

Follow along with members of the Daily Commentary and Idealized Trades summaries 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).

Similar Posts

May 9 Double Bottom Reversal Intraday Trading Update

Bycjrosen

This week has seen many intraday reversals that have tricked some traders, and today’s session is no exception. Let’s jump straight into today’s mid-day market update and focus on what’s important for the rest of the session. This morning continued the intraday reversal and downtrend against the 1,890 level.  Price then triple bottomed on positive…

Here We Go at 1110 – Trap, Reversal, or Breakout

Bycjrosen

Technical analysis is extremely helpful for finding major inflection points – prices – in the markets that are known reference points between bulls (buyers) and bears (sellers). It can’t tell you exactly way price will break – thus it’s not a crystal ball – but it can help you assess the “Bull/Bear Balance” or “Supply/Demand…

Dojis at the Highs – A Look at DIA QQQQ and SPY

Bycjrosen

All three major US Stock Market Indexes – along with their respective ETFs – have formed two dojis in a row above their upper Bollinger Bands. While this certainly doesn’t guarantee a reversal, it’s at least a warning sign that would benefit us to take a closer look.

Let’s see the price moves of the DIA, QQQQ, and SPY off their March lows and take a look at the current doji candles along with other instances where at least two dojis in a row formed… and see what happened next.

2 Comments

  1. An electrician is a member of this click here highly
    professional and skilled team. It seemed
    pretty simple. Some other things to teach children are that
    they mustn’t climb a tree that is close to circuit breakers and
    switches. To click here make sure you’re absolutely, positively clear on what you requested, you won’t feel so bad.
    It is possible that they have experienced local electrician who can help you.
    Becoming a qualified electrician who has grade-appropriate schooling.

    3 If you need any type of tradesman or service.

  2. Honestly speaking, I really love this blog, it is really
    great to have such consistency in providing us with daily updates while another
    massive advantage is these analysis that is given, I always follow it and
    maximum times, I am in great profits and another great thing for me as trader
    is that I get all my profits instantly thanks to OctaFX broker for their lovely
    service where all money related transactions are proceed instantly without any
    extra fees or hidden charges.

Comments are closed.