ONE EGG Scan for May 29th

Buyers were once again willing to step in and buy the dip… so much for the selling that many are pontificating! The bounce back was a positive technically and put most of the charts right back where they were on the close Friday and thus we start today with the same focus we had on Tuesday… breaks from consolidation. The key is to be patient and not think about the fact that the selling hit our stop on the S&P 500 trade only to see it bounce right back on Wednesday… Frustrating, but we have to maintain our discipline or it get ugly quick. New day and new opportunities as we go forward.

Result for the Daily EGG Scan:Ā 

Potential leadership results ourĀ scans produced for today…

  • SOXL – Semi’s attempt to break through resistance and offer some leadership. Less selling that the other sectors. Positive for technology. Follows through with big upside move and trade opportunity on Wednesday.
  • TNA – Ā Small caps made nice move on Wednesday… looking for upside follow through.
  • GREK – bounced as the saga continues. Traders making money on the swings.
  • RUSS – short side of Russia in play with the move lower in oil prices and disruption geopolitically relative to Greece, Spain, and Emerging Markets. Continued higher on Wednesday…
  • SVXY – volatility falls and short trade rises.
  • EUO – short the euro trade worked a bottom reversal? follow through? Hit entry. Nice jump on Tuesday… raise your stops to protect the gain.
  • YCS – strong dollar send yen lower. Nice confirmation on the break higher.
  • UUP – dollar making moves on the upside causing disruption. moved higher again on Wednesday.

Moves of interest trailing ten days:

  • BIB – biotech at resistance and break higher is of interest. Nice move on Wednesday.
  • CURE – down trending channel? break through the upside a positive. stalling at high? Watching for continuation of upside and opportunity to add. Nice addition on Wednesday back towards the highs.
  • YINN – reversal on test of the move higher? $62.50 break of interest for upside trade.
  • EWH – Hong Kong hits new higher and double bottom break on upside. Held as well. let it unfold.
  • SOXL – messy, but making money on the upside short term. Big follow through on the trade Wednesday and jumps to the top of the list.
  • YCS – short yen on strong dollar working very well on the upside. Another move higher on Wednesday.
  • TECL – technology jumped up the list with nice move on Wednesday and watching the new high opportunity.
  • TQQQ – NASDAQ 100 winning from technology pushing the index higher.

PossibleĀ EGG Position:


  • TECL – $40 with test of the move is good entry point.
  • BIB – $89 with test of the move on Wednesday for entry point.
  • TQQQ – $117.25 with test of the move higher for entry point.

The opportunity is if we get test in the first hour or so of trading and then the upside resumes. Gap open we will pass. Watch and let the trades develop. This remains a news driven market day to day.

Added TQQQ for Egg on Thursday with the test lower at the open. Manage the risk, but give it room for volatility.

This is clearly a traders market. That shortens the holding periods and makes risk more imperative to manage. Not convinced that either side has control of the direction. We are looking for trades only at this point and we will manage the positions more aggressively.