EGG Scan for May 23rd

Finally a follow through for the broad markets, but some late day selling and volume not overwhelming on the buying… but I am probably just being overly sensitive to a psychotic market. Still willing to be patient and let this all play out as we go forward. Tomorrow starts a three day weekend… We will be very cautious heading into this and may wait for Tuesday before adding any positions.

Running the EGG Scans – First the daily winners… KOLD (natural gas was back on downside?)… TUR despite the global worries. Nice upside leadership. YINN – China was up again and breaking higher. Emerging markets (EDC) made a nice upside move again today and resuming the upside trend again. FBT – biotech is not attempting to break from the consolidation pattern on the upside. SOXL – semiconductors are in position to break from consolidation on the upside.

SVXY still trending higher and leading relative to the VIX index. ERUS (Russia) is doing well also as it has followed through nicely since the withdrawal of troops.

EGG setup going into tomorrows trading… 1) SOXL – Semiconductors. (SOXX, SMH)  2) PJP – Pharma (breaking from consolidation and gaining momentum.) OR CURE – healthcare overall starting to show positive upside momentum. 3) EEM – Emerging Markets upside back in play.

EGG Model Watch List:

QLD is still in play for those who took the trade. Didn’t add on the activity today. Played out well in the end, but didn’t like the start of the day. (too much short term memory on the daily reversals.) Didn’t like the late day give back on high volume, and stop is now at the $102.20 mark going into tomorrow. I added 1 share to the table to track the trade out for those who entered the position.

If we like any of the above opportunities in the AM well enough to add, I will post the position entry, etc.

Patience for now.