Market Notes:
October, as we discussed last Friday, is a bear market killer. Yesterday I mentioned there wasn’t much more downside left.
Today I want to point out the that market typically bottoms on the 7th trading day of the month. Today is the 5th trading day. See the chart below.
Compare that to the current SPY chart…
To me, it appears we are on track for the traditional year-end rally. And there’s a strong possibility that the bottom is in. I plan to start building a position today and swing into the end of the year. One could use the traditional SPY … or SPXL which is an ETF that provides 3x leverage. As always, manage your risk.
Bitcoin is on a tear breaking out to its highest level since May. The alts are going crazy too … the meme token Shiba Inu (SHIB) is still flying.
Be safe and always have a plan to be wrong. While I’m building a swing position I am still sitting out the day trading, just watch and observing for now.
I believe patience will be rewarded.
Watchlist:
*GROM watching for a setup above $5
*APRN has support at $8
BEST has resistance at $2
TGA has support at $2.80
ZETA watching for a setup above $8
CPRX has support at $6, resistance at $6.20
OTC (on watch, no levels):
ILUS, CYBL, FERN, ALPP