Trading Plan for Thursday, March 14th, 2024
Trading Plan for Thursday, March 14th, 2024
Market Sentiment: Cautious, watching for breakout direction
Weekly Volatility Risk: High
Supports to Watch:
Immediate Supports: 5230-28 (major), 5220, 5213, 5202-07 (major), 5191, 5180-83 (major), 5167, 5162, 5156 (major), 5148, 5144, 5136, 5126 (major), 5115, 5108, 5103, 5088-91 (major), 5083 (major), 5076, 5071, 5067 (major), 5060, 5053, 5048 (major).
Resistances to Monitor:
Key Resistances: 5235, 5245 (major), 5257 (major), 5265, 5280 (major), 5287-90 (major), 5300, 5306, 5314, 5327, 5335 (major), 5340, 5346 (major), 5354, 5363-65 (major), 5374 (major), 5380, 5391 (major)
Trading Strategy:
Consolidation Zone: Price action between 5230 and 5245 indicates a new consolidation range. Exercise caution with overtrading within this range. Look for breakouts or breakdowns for clearer directional cues.
Support Focus: Watch for potential long opportunities at 5230-28 (after a dip and reclaim) and 5220 (if today's low holds and reclaims). For aggressive traders, major supports like 5202, 5183, and 5156 offer potential bounce areas for catching points on a larger sell-off.
Counter-trend Caution: (For experienced traders): Shorting green candles is risky. If a breakout above 5245 occurs, watch for short entries around the 5280-90 zone.
Patience is Key: Prioritize capital preservation and wait for high-conviction setups.
Bull Case:
Flag Structure: Current price action could be forming a bull flag. Defending 5230 and 5220 supports keeps this scenario alive, targeting a potential breakout towards 5257, 5265, 5280, and the 5287-90 zone.
Adding within Flags: Monitor for reclaims of 5235, indicating strength within the consolidation with the potential for another test of 5245.
Bear Case:
Breakdown Signals: Breakdown below 5220 could trigger selling pressure. Watch for shorting opportunities on failed breakdowns or bounces, ideally after a test of 5220.
News: Top Stories for March 14th, 2024
U.S.-China Deal: The quiet extension of a bilateral agreement between the U.S. and China underscores ongoing complex diplomatic and trade relations.
Chip Manufacturing Contrasts: Delays in a U.S. chip plant contrasted with Japan's on-schedule progress highlight the challenges and global dynamics in the semiconductor industry.
Gaza Economic Crisis: Surging inflation in Gaza puts further strain on residents, particularly due to the dramatic price increase for essential goods.
Immigration Impact: Post-pandemic urban growth in the U.S. is significantly driven by immigration, reshaping demographics and economic landscapes.
TikTok Scrutiny: The U.S. House of Representatives takes a step towards potentially banning or forcing the sale of TikTok, citing national security concerns.
Retail Landscape: Family Dollar's planned closures signal changes in the retail sector due to shifting consumer behavior.
Labor Market Update: The robust U.S. job market adds 275K positions, a factor as the Fed weighs interest rate decisions.
Additional Factors: Keep an eye on the upcoming PPI data, oil market dynamics, and Robinhood's surging trading volume for potential market implications.
Market Sentiment: Cautious, watching for breakout direction
Weekly Volatility Risk: High
Supports to Watch:
Immediate Supports: 5230-28 (major), 5220, 5213, 5202-07 (major), 5191, 5180-83 (major), 5167, 5162, 5156 (major), 5148, 5144, 5136, 5126 (major), 5115, 5108, 5103, 5088-91 (major), 5083 (major), 5076, 5071, 5067 (major), 5060, 5053, 5048 (major).
Resistances to Monitor:
Key Resistances: 5235, 5245 (major), 5257 (major), 5265, 5280 (major), 5287-90 (major), 5300, 5306, 5314, 5327, 5335 (major), 5340, 5346 (major), 5354, 5363-65 (major), 5374 (major), 5380, 5391 (major)
Trading Strategy:
Consolidation Zone: Price action between 5230 and 5245 indicates a new consolidation range. Exercise caution with overtrading within this range. Look for breakouts or breakdowns for clearer directional cues.
Support Focus: Watch for potential long opportunities at 5230-28 (after a dip and reclaim) and 5220 (if today's low holds and reclaims). For aggressive traders, major supports like 5202, 5183, and 5156 offer potential bounce areas for catching points on a larger sell-off.
Counter-trend Caution: (For experienced traders): Shorting green candles is risky. If a breakout above 5245 occurs, watch for short entries around the 5280-90 zone.
Patience is Key: Prioritize capital preservation and wait for high-conviction setups.
Bull Case:
Flag Structure: Current price action could be forming a bull flag. Defending 5230 and 5220 supports keeps this scenario alive, targeting a potential breakout towards 5257, 5265, 5280, and the 5287-90 zone.
Adding within Flags: Monitor for reclaims of 5235, indicating strength within the consolidation with the potential for another test of 5245.
Bear Case:
Breakdown Signals: Breakdown below 5220 could trigger selling pressure. Watch for shorting opportunities on failed breakdowns or bounces, ideally after a test of 5220.
News: Top Stories for March 14th, 2024
U.S.-China Deal: The quiet extension of a bilateral agreement between the U.S. and China underscores ongoing complex diplomatic and trade relations.
Chip Manufacturing Contrasts: Delays in a U.S. chip plant contrasted with Japan's on-schedule progress highlight the challenges and global dynamics in the semiconductor industry.
Gaza Economic Crisis: Surging inflation in Gaza puts further strain on residents, particularly due to the dramatic price increase for essential goods.
Immigration Impact: Post-pandemic urban growth in the U.S. is significantly driven by immigration, reshaping demographics and economic landscapes.
TikTok Scrutiny: The U.S. House of Representatives takes a step towards potentially banning or forcing the sale of TikTok, citing national security concerns.
Retail Landscape: Family Dollar's planned closures signal changes in the retail sector due to shifting consumer behavior.
Labor Market Update: The robust U.S. job market adds 275K positions, a factor as the Fed weighs interest rate decisions.
Additional Factors: Keep an eye on the upcoming PPI data, oil market dynamics, and Robinhood's surging trading volume for potential market implications.
