Del's Nightly-ish Watchlist 🌙 4-5-21

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Fully Vertical

It’s safe to say that the S&P has gone full piggy.

We live in interesting times. Here’s a reminder of the S&P since the 90s. Be cautiously bullish, we are fully vertical.

The 397 SPY range breakout trade from the last couple of posts could not have been more spot on. We’re also seeing the VIX staying suppressed under 20.

I loaded up on technical longs and took profits into the strength. God, it felt good, it’s been some time since markets had a power move.

I currently have long positions in WMT, DG, ROL, and UPST.

Take profits to fund bigger positions with the house’s money.

For tomorrow and the rest of the week, I’d like to see bases being built up into mid-week after spiking today on strong growth names. Remember, we need to take a latter up, not an elevator.

As we create this base, I’ll start getting aggressive and setting my targets out further on my continuation long setups. It’s really easy to just enter blindly, so stick to your rules and size accordingly.

Watchlist

Setups

UPST — Magical. Adding to long into 156.9s squeeze.

DG — Playing out perfectly, spiked over the 206 level on the daily. Looking to add to my long if we can hold above 200.

WMT — On a tear, will be adding to my long position with basing above 136.

ROL — Pure strength, on zombie cruise control. Same story, looking to add after consolidation.

KOPN — Looking for an entry. A washout just under 10 would be perfect.

TSLA — Flirting with me. I was hoping for a deeper exploration into the wedge. Let’s see if we’re just forming a flag against 720. Would prefer a tight wedge, however.

In Closing

You can guess the theme here. When the markets are on a tear like this, you listen. This is where you put your trend following hat on and have a plan for when the market tells you otherwise. Just don’t assume the top.


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— Del (twitter)