The Turning Point

It doesn't matter whether markets are rising or falling, sooner or later, they hit a turning point. We have a lot to discuss this weekend regarding those turning points, so lets dig right in...

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SPX - Whether we started a bear market or not, I still expected a strong rally when we were at recent lows. It would draw in bulls, but what comes next after 6 weeks higher?

SPX 3-18 wkly

This rally has played out pretty much as expected, but I want to point out some interesting changes in character that could affect future trades / trading.

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Welcome To Quad Witching

Quad witching can add volume and a little volatility to the trading day, so I just wanted to do a review of the markets and discuss a few trades.

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Let me start with the IWM this time. I actually like this set up for a run to the 200msa. We'll see if Quad witching helps or hinders things. This does look bullish.

IWM 3-17

I wanted to start with the IWM, because...

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Calculated Risks

Nobody wants to take unnecessary risks in the market, but the saying "Nothing ventured, nothing gained" applies too.  So you have heard me mention looking for "Low risk entries",  but what is that? It is timing an entry where the risk to the downside is minimal, and the gain on the upside outweighs it. We will discus that further later in this report.

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SPX -Friday is Quad witching. The Fed didn't kill the markets this time, but that wasn't a very convincing push either, was it?

SPX 3-16 

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