Remember to get email updates of Blog Posts Follow us at BullzeyeTrader.com
Click http://bit.ly/RightWayOptions01162018 to watch video
Morning Market Prep by Doug Campbell for Jan. 16, 2018
Stampede of Bulls

On the Calendar
Only one important report on the Tuesday Economic Calendar. At 8:30 AM the Empire State Mfg. Survey is expected to remain very strong at a consensus of 18.6 vs. Decembers 18.0 reading. After that we have three bond auctions and believe it or not, no fed speakers.
On the Earnings Calendar, we have 23 companies stepping up to report quarterly results today. Among them are UNH and CSX which both report before today’s bell.
Action Plan
Just when you think this market couldn’t get any more bullish, it does. With 3-200 point days already this year, I believe this might be the strongest start to a year in my 28 years of trading. Once again all four of the major averages closed at record high levels on Friday reacting to strong bank earnings. Personally, I think the market seems excessively exuberant. However, this morning futures are a perfect example of why it’s unwise to bet against such a strong trend.
As I write this, the Dow Futures are pointing to an opening gap of more than 200 points. Who could have imagined that just 7-trading days after breaking through 25,000 the market could open above 26.000? Remarkable bullishness indeed! With such a massive gap up to new market highs chasing an entry would obviously be unwise. Stay with the trend but also remain laser-focused on price action. Logic would suggest profit taking could begin at any time but don’t try to predict when that might occur.
Trade Wisely,
Doug
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.