Building a Watchlist Around the YM
What are the relative outperformers within the YM/DIA, IYT, and XLI and which do we trade for “buy the dip” trend follows and which are oversold buy candidates?
What are the relative outperformers within the YM/DIA, IYT, and XLI and which do we trade for “buy the dip” trend follows and which are oversold buy candidates?
With copper, transports, and industrials in “double green” markets, the YM continues to be a reliable relative outperformer.
Bulls and bears have setups to work with into next week. I think market action will favor a bit of selling, but there’s nothing wrong with having setups for both occasions.
Quadruple witching came with an extra dose of volatility this week. Between AMZN and TSLA we were able to pull down some decent cash, but they made us work for it. Let’s review those trades along with the best setups for next week.
Watchlists are often best when we start with connected names: Symbols that are connected by the passive investing that dominates the market.
Whether it be the ES, NQ, or XLY ETF, the oversold low in AMZN and where and how it could bounce is something to watch for.