Volatility Ahead: Rate Hike Risks Meet Weakening Breadth

Last week was choppy for the market as anticipated. I highlighted declines in the S&P 500 and the Dow Jones as high-probability setups, using $S&P 500(.SPX)$ $SPDR S&P 500 ETF Trust(SPY)$ $SPDR Dow Jones Industrial Average ETF Trust(DIA)$ as the instruments to set the targets. DIA reached the bearish target of 522 for a -2.2% move 🎯, and SPY hit 761.8 for a -1.1% move 🎯. They actually extended their losses, but I mark the targets officially reached.

Being bearish on the indices doesn’t mean that the entire market will fall; successful traders know that very well. While we were bearish on the indices, individual setups for $Advanced Micro Devices(AMD)$ $Broadcom(AVGO)$ $Meta Platforms, Inc.(META)$ $SpaceX(SPCX)$ $iPath Series B S&P 500 VIX Short-Term Futures ETN(VXX)$ were printing reliable bullish signals. They reached the targets I anticipated for the week in this publication as follows: AMD easily made it to the $504 target for a +5.5% move 🎯; AVGO to $373 for a +4.2% move 🎯; META to $660 for a +7.1% move 🎯; SPCX to $154.1 for a +4.2% move 🎯; and VXX to $18.5 for a +4.4% move 🎯.

With that said, my Setups Blueprint is neutral, featuring both bullish and bearish setups. There are also several other advantages to this specific approach:

All the tickers are analyzed every week. So, whether you trade the SPX and Futures only, DIA, and $Invesco QQQ(QQQ)$ only, $NVIDIA(NVDA)$ and $Tesla Motors(TSLA)$ only, or AMD and $Palantir Technologies Inc.(PLTR)$ they are permanently analyzed so you can focus on the ones of your preference from this watchlist:

  • Indices & Futures: SPX, NDX, DJI, IWM, ES=F, NQ=F

  • ETFs: SPY, QQQ, SMH, TLT, GLD, SLV, DIA, VXX

  • Major Stocks: AAPL, MSFT, GOOG, AMZN, NVDA, META, TSLA, SPCX, LLY, WMT, AVGO, COST, JPM, XOM, PLTR, NFLX, V, AMD

  • Crypto & Related: Bitcoin, Ethereum, ETHA, IBIT

The next advantage of this approach is capital protection and risk-to-reward analysis. Every setup has an invalidation level; if that level is lost, momentum could be flipping from bullish to bearish, or vice-versa. This week, the capital protection references for $Exxon Mobil(XOM)$ $SPDR Gold ETF(GLD)$ $Wal-Mart(WMT)$ kept risk limited to -0.7% average for three tickers while gains averaged +4.1% for seven tickers.


When markets keep you watching, knowing when to switch off matters too.

A strong U.S. jobs report has put rates back in focus, with this week’s CPI data set to be another key market mover — keeping overnight trading firmly on investors’ radar. But investing is a long game, and you don’t have to watch every move. The new Night Trading Dollar Eye Mask is soft, lightweight and comfortable, made for quick breaks between market moves, power naps or long-haul travel — so you can switch off, recharge and come back ready for what’s next.

Redeem the new Night Trading Dollar Eye Mask in Tiger Coin Mall. Keep an eye on the market — and give your eyes a break.

https://laohu8.com/J/redeemGift?goodID=100557&type=delivery

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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