News:
Headlines did their best to push fear into the market on Monday.
This morning, Israel appears ready to launch a full-fledged ground invasion to take control of the entire Gaza Strip.
But the market brushed it off … After a red open, stocks turned positive after lunch.
The indexes settled green and near their session highs…
- Dow Jones +0.6%
- Nasdaq +0.4%
- S&P 500 +0.6%
- Russell 2000 +0.6%
Sector Round Up
All of the 11 sectors were green at the close.
Energy stocks soared, and oil prices spiked due to the Middle East conflict.
At the top…
- Energy (XLE) +3.3%
- Industrials (XLI) +1.6%
- Real Estate (XLRE) +1.3%
Bringing up the rear…
- Consumer Discretionary (XLY) +0.1%
- Consumer Staples (XLP) +0.1%
- Financials (XLF) +0.1%
Technicals:
The S&P 500 is pointing higher.
After a week of consolidation at a key support level … the index, which represents 80% of the stock market’s value, posted a solid green candle with a higher high and a higher low.
We’re adding to our positions.
Your latest readout…
- The VIX closed below 18 again
- RSI levels are all neutral
- The put-to-call ratio is oversold
Timing:
Our friends at the Stock Trader’s Almanac issued their seasonal buy alert after yesterday’s close.
Since 1950, their “MACD-timed switching strategy” resulted in significantly higher average gains than traditional buy and hold.
We’ve been buying since last week.
Watchlist:
*Low Float
^Open Position
*IMMX support at $3.75
*MTEK support at $1.30
*PEV resistance at $1.80
*GRPN support at $14
^*GLBS support at $2
LFMD support at $6.50
WW resistance at $12
Secondary watchlist—float 100+ million
LAAC support at $7
^TAL support at $8.50