First of all welcome to the many new members who have joined us recently. We truly appreciate you joining our community of supportive traders. This morning we are seeing a sizable gap up in the market that is putting us right into a Fib cluster of potential resistance between 290 and 292.50 on the SPY. We are also likely to fill a gap this morning at 290.23 We may also see the SPY go back to a light blue bar for our TTM momentum this morning. This recent price action has been bullish, but this morning I want to be patient to see if we find any resistance in these Fib clusters or if we want to push even higher to some very heavy resistance and another gap fill around $300. We should also keep in mind that the FOMC meeting starts today and we have a rate decision at 2 PM tomorrow and a presser from Jay Powell at 2:30 This morning it looks like we should be able to take profits on a couple swings, which will have me on the lookout for some new swings. The big question for me is how much if any risk do I want to put on ahead of the FOMC? I won't know the answer until I see how the open gets digested, but here are some names that I will be watching:
WCC has earning on Thursday morning and could benefit from news that some states are opening up the construction industry. I like this on a soft open and move over $25 for a push up to the ema34 at 26.31 or higher
CGC off the weekly watch list I will be watching today to see if it can take out a key anchored vwap level at 18 and possibly short squeeze higher
AL is another name from the weekly watch list that I like short on a test of the sma20 that finds resistance
SNAP ideally I like on a soft or flat open and a red to green move but would also consider this on a gap up that comes back to fill the gap and finds support at that red to green line.
DIS is one of many travel/entertainment industry stocks that are moving in the premarket. Ideally I like this on a back test and hold of the daily sma50 which it looks like it will gap up over this morning.
STX is in a negative looking TTM Squeeze and I like this short on a break back below the sma20 that it looks like it might gap up over this morning.
I also have FDX on side watch - this is one that I think could go either way depending in the market I like it long on a back test and hold of the sma50 and short on a break of the sma50