Chart Updates: 11-10-2021
These are updated charts from the weekend strategy video that goes out first thing Saturday morning, as well as new charts of interest that pop up during the week.
Comments are attached to each individual chart (click image to view).
Charts fall into four categories:
Active setups - Watch for entry.
Potential setups - Not ready yet but could be soon.
Follow-ups - Previously triggered setups.
General - Charts of general market interest
For intraday updates please join the Lund Loop Discord.
In the intro to this week’s ‘Strategy Video’ - which you can see here - I talked about how we were overextended in the short term and how important it is to be able to “switch gears” when the market environment changes as we head into the EOY.
Today provided an example of how that works in practice.
As you can see from the chart above, the market opened below yesterday’s low, but pushed higher and recaptured it.
That move provided profit opportunities in stocks like PLUG, TSLA, DCEL, PTON, and others as they either held or recaptured the previous day’s low and quickly moved higher.
Then, when the market couldn’t push past intraday highs and started to roll over, it was time to exit your positions.
Knowing which “gear” to go into, in this case, day trading vs. swing trading, allowed you to make some quick cash, take risk off, and get out of the way as the market - and most stocks - tanked later in the day.
Trust me, there’s no better feeling than making money on a big down day, knowing that you traded…
I’ll be doing a “Deconstructing a Trade” video covering some of the specific trades from today in this weekend’s Lund Loop newsletter. If you’re not already a subscriber, well, subscribe to get it in your inbox first thing Saturday morning.
Don’t take your eye off the ball because of today’s selloff. This was expected.
Now is the time to make a list of stocks that are showing the best relative strength. Those that hold important support levels, moving averages, and generally perform better than other stocks in their sector.
If the market doesn’t fall off a cliff, when things settle down, those will be the stocks that will be the leaders in the next move up.
Now let’s get to the rest of the charts.