Good Morning traders, I hope this note finds you happy, healthy and rested.

We continue to remain in a very dull choppy market.  I’m not sure what the market is waiting for but without question, it’s stuck between a narrow support and resistance zone making it difficult to trade.  Finding tradeable stocks is not the problem but finding stocks with enough momentum to make any money on them is the issue.

We have several items on the economic calendar this morning that could still move the futures around in the premarket but as of now we are pointed to a slightly bearish open.  The oil status report at 11 eastern could prove to be very important today.  As you all know oil has been slipping lower so a report showing a decline in supply could really be helpful to the overall market lifting oil prices.  Of course, if it were to show a build then the selling that could happen in oil could push the market lower.

I plan to remain cautious and will not be looking to add additional risk in a 50/50 dull action overall market.

Have a great day!

Trade Wisely,

Doug

Click Here to Watch the Morning Video

Good Morning everyone and Hump Day!.

Yesterday the market seem to be in limbo with light volumes and very small price moves.  Perhaps the market is waiting to see more earnings results before making a decision of direction or maybe the market is simply waiting for the new president to get started.  Whatever the reason may be w continue to be locked into a small range of sideways chop and forcing us to have a heightened level of confidence.

Today we have several big earnings such as C and GS prior to market open and NFLX after the close today.  Big pre-market earnings reports have the potential of moving the futures around so the open today I think is still up in the air and anything is possible.  We also have a very busy economic calendar today with CPI, Industrial Production and Janet Yellen speaking this afternoon as the most likely of to move the market.

I believe we must continue with our heightened caution.  This means we need to choose carefully the stocks we trade, perhaps trade them smaller and have a willingness to take profits sooner if the market does suddenly pick a direction.

I wish you all a productive day!

Trade Wisely,

Doug

Click Here to Watch the Morning Video

Good Morning RWO.

I hope everyone had a fantastic weekend.  I’m not 100% just yet but doing much better so everything should be back to normal if there is such a thing.

The Futures are pointing to a lower open this morning an because the gap down is a slightly larger than we have been seeing lately it’s common to have an emotional reaction and thinking the sky is ready to fall.  However, if you look at the index charts you will see that there is a reason to raise your caution level but at least now there is no need to panic.

MS reported great earnings this morning and that help to lift the futures off the lows.  Don’t forget the power of earnings session and the influence it has over the trader emotion.  On the economic calendar, we have the empire state number this morning but I doubt it will have much effect unless the number is a major surprise.  We have several Fed speakers today and it looks as if they will keep the hot air circulating the rest of the week.

For today raise your caution level just a little and watch the charts.

Trade Wisely,

Doug

Click Here to Watch the Morning Video

Good Morning and Happy Friday!

Yesterday turned out to be a nasty whipsaw and justifying my words of caution.  Today it’s all going to be about the big economic reports and earnings.  Both PPI and Retail Sales will be out prior to the market open and we will likely have seen reactions to bank earnings before the open as well.  Anything is possible.  If everything were to come out bullish then today could be the push through 20K with the increased volatility.  If the market is disappointed in data it’s that same volatility that could quickly break through supports.

All we can do is wait, stick to our rules and avoid emotional decisions.  I think today it would be wise to give the market 15 to 30 minutes to calm down before making any decisions on new risk.

RWO will be open today as long as my voice will hold out.  I look forward to getting back to my normal schedule..

Trade Wisely,

Doug

Click Here to Watch the Morning Video