EB Daily Market Report - Quick Update - Thursday, July 6, 2023
ChartLists Updated
We've updated the following ChartLists:
- Strong Earnings (SECL)
- Strong Future Earnings (SFECL)
- Raised Guidance (RGCL)
- Bullish Trifecta (BTCL)
- Short Squeeze (SSCL)
- July Seasonality (SEASCL)
Our website has not yet been updated, but it should be done by later this afternoon. For those of you that are Extra or Pro members at StockCharts, you can download our ChartLists directly into your StockCharts account. If you're a Basic member at StockCharts, you're restricted to just one ChartList, which is your default ChartList. Therefore, you cannot download our ChartLists. So for Basic members and non-members, you'll be able to view our ChartLists one chart at a time. We can also provide you information via Excel if you're on another charting/trading platform. You can contact us at "[email protected]" if you need more information.
Today's Market Action
I wrote a Trading Places blog article earlier this morning at StockCharts.com that you might want to check out, as I provided some key technical support levels on both the S&P 500 and NASDAQ 100. You can CLICK HERE to view the article. Here's a quick look at the IWM (Russell 2000 ETF), with key support levels:
We lost the 20-day EMA at the opening bell this morning, so I immediately trimmed my TNA, still holding my IWM though. I started accumulating the TNA again around 11am ET today. I love that AD line and believe we'll see recovery before the end of the day. It may have already started.
I'm not sure that we've reached bottom, however, so each individual will have to decide if leveraged positions are truly worth the risk. I can't make that call for everyone, only myself. I annotated the 3 critical short-term support levels on the IWM. They vary and are 180.44 (recent price support), 179.09 (triple top from April/May), and 177.52 (gap support from June 2nd). The 50-day SMA falls in the middle of this range at 178.85. If all of this support fails to hold, I will not own any TNA (3x leveraged ETF that tracks the IWM).
I can tell you that rotation does not suggest this period of weakness will last, other than just normal profit taking. I see nothing that worries me that a long-term decline is in the cards. Could that change? Sure, and I'll definitely keep everyone posted.
Bulls-Eye Forecast: Mid-Year Update
This event is a big one, where I'll provide an update on most everything I follow. If you cannot attend live, we'll be sure to send you the time-stamped recording. Be sure to check it out.
The event will begin at 7:00pm ET and I'm HOPING to end it at 8:30pm ET with Q&A to follow. I hope to see you there!
Happy trading!
Tom