ONE EGG Scan for June 11th

Got the upside move we were looking for following the intraday bounce on Tuesday with buying on Wednesday. This was a technical move, but Greece and a weaker dollar were credited the influential move in the indexes. There is still plenty of room on the dance floor for this to unfold. One day move does not change anything other than to recapture some of the paper losses. Today is another day as we follow up on the small caps breaking higher and the Dow reversing the negative sentiment. Watch and let your patience work in to your favor.

Result for the Daily EGG Scan:Ā 

Potential leadership results ourĀ scans produced for today…

  • UNG – jumped to establish a bottom reversal trade on Monday… watch. BOIL 2x leverage ETF for trading the commodity. $43 entry on upside move follow through and reversal. Nice pop on Tuesday to add to the reversal. Manage your exits.
  • UCO – crude made move higher again? Watch the volatility of this move. Followed through to resistance on Wednesday.
  • DUST – short gold miners back on the list with break above the $15.20 level. watch for opportunity. Testing the move higher. Followed through nicely, but tested today.
  • KWEB – China internet stocks moving higher again and worth watching.
  • KRE – regional banks get big pop on upside move with jobs report strength.
  • WEAT – double bottom pattern for break higher setup.
  • FXP – short China trade showing up on the radar… watch for entry on break of support. YANG is the leveraged trade breaking higher.
  • JO – coffee moving higher and caught on the scan last couple of days?

Moves of interest trailing ten days:

  • EDZ – five day jump puts it in the top ten. 13% gain. short emerging markets. confirmed again with the move higher. Downside is still at risk short term.Stops managed as this hits resistance of the 200 DMA. Reversal and stops in play.
  • BIB – biotech at resistance and break higher is of interest. Consolidation at the high.
  • TMV – short treasury bonds continues to play out on the Fed threat to raise rates. Playing out nicely on the upside.
  • KRE – regional banks taking on leadership role for the broader markets. Nice follow through on upside move.
  • SRS – Short REITS as interest sensitive assets still moving lower. Raise your stops on risk of this playing out short term.
  • Some rotation in the two week trend cycles. We want to capture the move that meet our criteria.

PossibleĀ EGG Position:

This is clearly a news driven market making trading a challenge. Swings trades are struggling to follow through and creating to many whips in and out. No trends or continuation of trends. Testing is the trend and it has extended into a sideways market. TheĀ week startedĀ outĀ similar to last week… no direction near term. News is driving the day to day activity andĀ the insecurity is showing in investor activity.Ā The shortened holding periods makes risk more imperative to manage. Not convinced that either side has control of the direction.Ā Manage positions aggressively based on the current environment.

IWM wasĀ the watch for Wednesday as the small caps have held up well in the midst of some selling in the broader indexes. Look for entry at the $124.85 level on the day.Ā Got the move early on the day and it followed up with move higher on the day. Entry was $$125.10. Stop $123.70.