Not the time to chase transportation stocks higher

The transportation stocks have led this magic rally off the mid-October lows higher. Traders in just about all time-frames must however focus on the high probability trades, and buying the transportation stocks up here on this overshooting move on a risk-adjusted basis is a weak setup. The chart tells us something very straight forward. Watch […]

Activist investors can be a shareholder’s best friend

Activist investors are feared by corporate CEOs the world over and have, over the years, built up a reputation as the unruly shake-up masters of Wall Street. While not all activist investors are created equal, a number of them do deploy rather crude and in-your-face strategies, sometimes with the intent of instilling shock and awe. […]

US Stocks: Hold the line

No, not THIS Hold The Line. What I am referring to is the near-term support line that the S&P 500 on Wednesday once again managed to hold and bounce from. The concept as such is quite simple really: when former resistance becomes support…it ain’t bearish until support breaks. Read the full analysis here: https://www.tradingfloor.com/posts/us-stocks-hold-the-line-1590927  

What to watch for a top in the S&P 500 SPX

At what level would I call a trend reversal in the S&P 500? That’s the question I have received at least a dozen times thus far this week. While the price action for the S&P 500 is important, for a trend reversal to be called one also needs to look at confirmation in other parts […]

Facebook sets up for a gap-fill trade

Facebook continues to shower the aware traders and investors with opportunities both long and short. After its post earnings sell-off in October the stock has consolidated in a sideways range and now looks to be readying a gap-fill move. Watch the short video here: https://www.youtube.com/watch?v=phRHbcUZFx8

Volatility not confirming new highs in the S&P 500 SPX

It has been a nutty rally for stocks in recent weeks and the vertical move caught both bears and bulls by surprise. If we look at implied volatility however, the new highs in the S&P 500 has not yet been confirmed by a lower high in the VIX, which is one reason to wave a […]

The Two-Face Market

The world’s wildest reality show (the markets, that is) gave both bulls and bears something to think about on Wednesday as stocks surged and the dollar tanked. All of this came courtesy of September’s Federal Open Market Committee meeting minutes, which revealed members were concerned their inflation outlook may be too aggressive (partially because of […]

Shares of ADT are coiling up for a big move ADT

Security company ADT Corp in recent weeks have traded in an unusually tight pattern. The construct of the chart is bullish and could resolve to a meaningful move higher sooner rather than later. The beauty of the setup is that even if the stock breaks to the downside, an equally juicy trade would be setting […]

Using sector rotation for cash-flow trades

With just 16 trading days left for US equities this year, the ranks on trading desks are getting thinner by the day as fund managers operate with one eye on year-end fun and family time. As I discussed in last week’s ‘US stocks update,’ this can have the effect of lessened volume and a more […]

Get Serge’s Daily Trading Tips

Subscribe now and get clear, actionable, and relevant trade ideas!

By giving your contact info you agree to receive future emails from The Steady Trader including educational and promotional content. By providing your mobile phone number and clicking on the above “Subscribe” button, you agree to receive automated promotional messages from us via SMS. By opting into our SMS Program, you agree to our Terms and Conditions and Privacy Policy.