Morning Scoop
Good morning traders and welcome back! I hope everyone had a great Easter weekend. As we get back into the markets this morning, it’s important to stay focused on our trading strategy and not let the prevailing negative sentiment affect our decisions. It can be challenging enough to execute trades without the added noise, so let’s stay disciplined and stick to our plan.
Markets
📈📉 S&P 500 Futures Update
Last Thursday morning, I mentioned that I believed we likely wouldn’t make a move outside of this rectangle we’re in at the moment, and we didn’t. However, on Friday, we did for a while before falling right back in. As of now, we are still trading inside of this range. It feels like we’re headed back towards the bottom of the channel. Let’s see how prices behave.
🔮 Forecast
Coming into the 15-minute chart, you can see that the price is starting to head towards the bottom of this channel. I think that could create a nice buying opportunity if we can get down there. The price could push higher before it gets to my zone, and that would be great, but chances are we will simply test the lower zone, especially with earnings season here. Markets will probably be a little cautious.
Chart Analysis
I like the simplicity of META’s chart. The green zone is my 15-minute level of interest, where the stock could reverse, even for just a $1 or $2 move. Remember, this would be a scalp as I’m looking at the one-minute chart.
Price has a few things going for it here: it broke the uptrend line, consolidated around my zone, created a double top, and this morning, it opened up lower, currently sitting around $215. I wasn’t in this trade as I wasn’t looking to hold anything over the long weekend, but looking through my charts this morning, the price action was fairly clean and easy to spot, and I wanted to share it with you.
Wrap-up
I have noticed a lot of negativity and fear on the Twitter landscape lately. However, as I mentioned earlier, I am trying to ignore all that noise and focus solely on my process. I understand that I cannot control the outside environment, but the fear and negativity could easily creep into my head and make me lose focus of my plan. Therefore, I would rather ignore it and focus on watching the price action on charts, which will tell the true story.
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