The SPY and the IWM moved up as expected. There were good moves but volume is not confirming this move. We may see a continuation of the move today and this will give us a much better idea of the confirming strength. Both indexes are sitting at support so the weekly analysis premise of a break lower or break higher still apply. No real change in the tone of the market.
My trades did well today but most acted weak just like the bullishness in the market. This may change course but tone is not favoring the upside. I am looking at setting up bearish trades this week and one of those that I am looking at is XHB. XHB is forming a bear flag right now and this will be what I use to set up my next bearish trade on the housing exchange traded fund. XLF is still trending sideways along support. As mentioned before 14 is a critical level.
I tried to enter a Bull Put Spread in RIG this morning seeing the stock price at support and the huge move in the dollar I looked for a bullish play in the energy sector. My price was not filled because the stock moved very strongly first thing in the morning and never really stopped.
Futures are pointing to a slightly higher open so we should see some bullishness this morning at the minimum.