The market has been red-hot lately, heavily shorted stocks are getting squeezed; $PI, $GME, $ROKU, $FOSL, $DDD, this could be a theme that is developing. Fairly new IPO’S are acting well especially the Chinese ones; $BILI, $HUYA, $IQ, $SOGO.
There’s a lot of high fiving on twitter right now and a lot of bear trolling. There are certain times when breadth and the action are so good that it becomes a short-term negative that could lead to a small pullback.
My rolling five-day watchlist is my best barometer for the health of the market when it comes to short-term trading, right now the names on my lists have been acting exceptionally well, but the number of stocks on my lists are getting smaller. Due to the rally, I see less and less stocks that are set-up well based on the way I view charts; this can change in a few days. Keep your cool, stay calm, don’t chase, and fight the FOMO.
Today I have 11-names on my list but in reality, there’s 3 or 4 that I would consider buying, the others I will watch.
The daily swing strategy is part of a portfolio that consists of passive core holdings in $SPY, $QQQ, $DIA, $IWM, $FFTY.
Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at email@example.com or 646-480-7463.