Too much speculation and not enough clarification on direction. One day up and the next one down. The indecision is too much for investors to gain any confidence. We are willing to take what the market gives… for now that is too much risk and not enough clarity… thus we watch and remain patient.
Result for the Daily EGG Scan:
Leadership results the scan list produced for today…
- TMV – Rally continues as yields climb higher.
- ERY – rally on energy selling lower Monday. Confusion on direction.
- IAI – breaks from trading range and near new high… rally in financials.
- EMU – UK breaking higher on election results.
- SOCL – BABA helps the sector with potential bottom reversal… watching. $20.11 level was cleared and now the upside?
- MOO – breaking above $55.90 of interest. Friday gapped through this level and now showing upside momentum which held on Monday?
Moves of interest trailing ten days:
- UGAZ – Natural gas breaking from the trading range and setting up opportunity short term. Entry $2.55
- TMV – short treasury bonds accelerating.
- GDXJ – base trading range breakout $25. (TESTING???)
- SRS – short REITs climbing again on rates.
- BRZU – testing breakout at $7.75. Nice follow through upside.
- DBB – base metals continued leading higher. (TESTING??? )
- RUSL – uptrend still in play, big test higher… watching.
- EWO – uptrend remains in play…
Possible EGG Position:
Bounce on Friday helps the outlook short term with positive bias. Need to follow through this week. UGAZ is of interest for the trade setup to start the week ($2.50 entry). Remember the markets are choppy and the direction uncertain at this point. This means more room on the stops which increases the risk. Thus, we will be patient with our entry and stops.