Ming Jong Tey
Independent Analyst
Watch the video extracted from the live session on 18 Jul 2023 below to find out the following:
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The only essential element to confirm if the bull or bear is winning.
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The outperforming sector to focus on maximizing the return.
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The red flag for a trend reversal to watch out for.
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The price target for S&P 500 and Nasdaq 100.
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And a lot more.
The bullish vs. bearish setup is 639 to 98 from the screenshot of my stock screener below pointing to a positive market environment.
Both the long-term and the short-term market breadth are pointing to a sustainable rally (e.g. buy on dip is back) with strength.
13 “low hanging fruits” (ACLS, UBER, etc…) trade entries setup + 25 others (U, PETQ, etc…) plus 17 “wait and hold” candidates are discussed in the video (47:04) accessed by subscribing members below.
A “good problem” from a member
Below is a screenshot from a member.
And here is her problem: how to maximize the profit while only focusing on the “strongest stocks” among a few dozen of decent trade setups? This is indeed a “good problem” to have in the current market environment.
Perhaps some would think that she could focus on the top 5 stocks and scale in to maximize the return while scaling out the rest of the stocks. This makes sense only if there are valid setups that show up in the top 5, else this will only increase the risk.
At this point, it is essential to re-assess the trading plan.
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Short-term swing trade or long-term swing trade?
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Are you comfortable switching to a position trade to aim for a higher target price and managing accordingly? This will involve allowing a higher drawdown if the stocks have a meaningful pullback.
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Could you redeploy the money stuck in those underperformed stocks back to those that trigger your setup?
The answers to the questions above are different for everyone. Therefore the trading plan will be different based on the risk profile and the adopted tactics according to the market environment.
Let me know what would you do if you are the owner of the portfolio above.
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Editors’ Picks
EUR/USD holds near 1.1100, looks to post small weekly gains
EUR/USD trades near 1.1100 in the American session on Friday. Although the risk-averse market atmosphere caps the pair's upside, dovish comments from Fed officials and the disappointing US jobs report help it hold its ground.
GBP/USD retreats to 1.3150 area after post-NFP spike
GBP/USD turns south and declines to 1.3150 area after spiking to 1.3240 in the early American session. The negative shift seen in risk mood following the US labor market data for August helps the US Dollar stay resilient against its peers and weighs on the pair.
USD/JPY holds losses after weak NFPs from the US
US Dollar's weakness continues after August Nonfarm Payrolls came in lower than expected, reflecting broader labor market concerns. Market expectations for a Federal Reserve interest rate cut have risen, driven by signs of a slowing US labor market and softer job growth. The odds of a 50 bps cut in September by the Fed rose to nearly 50%.
Editors’ Picks
EUR/USD holds near 1.1100, looks to post small weekly gains
EUR/USD trades near 1.1100 in the American session on Friday. Although the risk-averse market atmosphere caps the pair's upside, dovish comments from Fed officials and the disappointing US jobs report help it hold its ground.
GBP/USD retreats to 1.3150 area after post-NFP spike
GBP/USD turns south and declines to 1.3150 area after spiking to 1.3240 in the early American session. The negative shift seen in risk mood following the US labor market data for August helps the US Dollar stay resilient against its peers and weighs on the pair.
Gold pulls away from near record highs, holds above $2,500
Gold came within a touching distance of a new all-time high near $2,530 as US Treasury bond yields turned south on disappointing US jobs data. The US Dollar's resilience amid a souring risk mood, however, caused XAU/USD to erase its daily gains.
Crypto today: Bitcoin, Ethereum, XRP tests key support, TRON network non-stablecoin activity hits new highs
Bitcoin, Ethereum, and XRP hover around key support levels after registering a steep correction earlier this week. TRON network’s stablecoin activity hit new highs following the release of SunPump.
Nonfarm Payrolls expected to show modest hiring rebound in August after July’s tepid report
The Nonfarm Payrolls report is forecast to show that the US economy added 160,000 jobs in August, after creating 114,000 in July. The Unemployment Rate is likely to dip to 4.2% in the same period from July’s 4.3% reading.
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