Rob’s Three For Three This Week With This Strategy

Welcome back everyone!  Let’s start by looking at a handful of things here.

A viewer emailed in and asked me to take a look at NETFLIX.  They wanted to see if it were a good buy opportunity.  Whenever we are under the speed lines, I immediately have no interest in being long.  That is unless we are getting a specific type of stochastic trade that I love.  The bottom line is that we don’t have that right now.  The 200 day moving average was in an uptrend previously.  I talked about this a lot on my cruise this last December.  With the 200 level above us and coming down, it gives me another great reason to not want to go long.  We have the speed lines above us, the 200 day moving average coming down on us, and some support coming up from beneath us.  If anything I would have to look more for an iron condor trade.  We are caught between resistance and support.  Because of that I have just no interest at this time because of the resistance and support around us.  That is not a directional trade and is also going nowhere.  Once we broke down below the 200 level it became resistance.  We kept hitting it and rolling over.  The 200 level is keeping us at bay for right now.

We had the Crude Oil inventory report on Thursday because of Memorial Day.  We are still holding on in the rising uptrend.  We still haven’t broke through the 50 level as well.  I want to break through the 50, pull back to show it is support, then take back off.  Crude Oil was focused on in the Live Trading Room today from an intraday perspective.  I am not looking at any major big sized positions from an intraday or swing perspective until we get through that 50 level.

I have been telling you in the past couple night’s videos about my flawless strategy.  It looked like the S&P, DOW, and NASDAQ were all going to heck in a handbasket.  I told everyone that if you want to short, then short.  We had a lot of new students in the room today which provided us with some very anxious students.  That was especially true because the market had a quick move to the downside.  This was just a retail trader trap.  I pointed out to people that the RUSSELL was very strong still.  That means so much more to me than the other markets dipped low.  It had a quick spike down for a bar, then just V spiked back up.  That chopped the heads off of the people who decided to buy short.  I shared this with you guys in these videos.  Until we break down below on all four Stock Index Futures, I am not interested in taking any shorts because of the risk of snap backs.  You can go back and watch the past couple videos to see that I have been saying this.  We are well off of the lows as you can see.  We are at the top 80 plus percent on all of these Stock Indices.  The strategy still stands currently.  I am going to look for long side trades if all of them are above the speed lines.  I will look for shorts if they are below the speed lines.  I will be very cautious when looking for trades when they are all mixed bags of nuts.

Those are my strategies as we head into tomorrow.  I look forward to seeing everyone in the Live Trading Room tomorrow, or in tomorrow night’s videos.

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