Many Tight Charts – Waiting for Jerome

Market Action

QQQ – not too much action the past 2 sessions. We are “Wating for Jerome” 😉

We are above all the moving averages and in an uptrend as defined by retaking the 21ema

IWM – strong close, progressing

Market Corrections Case Studies

Most of you have probably already read through these but I will include them daily until we resolve the correction

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Here are the two case studies of 2018 and 2020 that provide examples of what you can expect form a correction just in case you haven’t seen them yet.

I’ve been taking a look at recent sharp corrections. Here is the 2024 Correction so far compared to the 2020 Correction. Patience (while still prepping for the uptrend) until test/reclaim moving averages from below + form a higher low. If active, tight leashes on trades

QQQ 2024 versus 2020 Case Study – All corrections exhibit similar type action.

Here is the current 2024 Correction versus the 2018 Correction. Notice in that one there were similar points where it looked to be over, only for the rally to fail at key MAs. We’ll see how this current one ultimately resolves. The low could be in, one day at a time.

QQQ 2024 versus 2018 Case Study – Patience is required during corrections, taking it day by until the market proves itself.

Also key is how potential leaders are acting. As the correction ends they will be all setting up and breaking out through pivots.

Look for group action, big gap ups, volume surges, Higher lows as the market makes lower ones, reclaims of moving averages

Avoiding the chop and frustration is key during corrections. Experienced traders can look to pick spots, daytrade or see if levels holds during the day to hold through the close but less is more until the wind is back at our back.

With all that said you should be getting excited. We’ve had some great opportunities in 2023 and 2024 and this correction is setting up another one. The longer this goes on and the deeper the correction, the greater the potential for another uptrend that could change your year and life. You just have to do your homework and be ready mentally when that happens.

Trends (4/4 Up)

Shortest – 10 Day EMA – Up – Above Rising
Short-term – 21 ema – Up – Above Rising
Intermediate term – 50 sma – Up – Above Rising
Longterm – 200 sma – Up – Above Rising

Groups/Sectors – % Change from Open

Performance Charts from Deepvue

Heatmap from Deepvue

Key Stocks in Deepvue

NVDA double inside

PRCT huge breakout. Healthcare so right group, News catalyst from tight RMV area up the right side

APP strong bar

PLTR tight near highs above the 10ema

ONON strong push but could not close at highs

SG upside reversal off the 10 ema see if we get follow through, up through the HVC

ZIM undercut of gap low today and close above, see if it can hold and build out

AVGO tight up the right side

DECK tightening

IBIT Gap up but fell back into the range. One to keep watching as it is still tight below the 21ema

DOCS upside reversal, watching for follow through

UBER tight at this level

IBIT think if it can push through the 50 can really get going

KVYO tight range at the pivot, oops

SN start of a push today from the flag. RMV5 was 0 yesterday (I use this setting after recent gaps)

Market Thoughts

Looking at charts there is a lot of tight ranges forming after the power move up. Everything seems to be drifting a bit waiting for friday. Be ready for anything, know your strongest names, your top buy list, add list, and listen to market feedback on trades.

Day by Day – Managing risk along the way