BIG PICTURE SENTIMENT INDICATOR

Posted on

Our Big Picture Sentiment indicator moves from HOLD to POOR RISK/REWARD environment .. Now that the Energy sector has officially played along in this powerful rotation theme that is taking place out there, a larger chunk of bullish setups have moved away from quality entry spots .. That goes along with some of sentiment readings leaning towards the bullish extreme side of our indicators .. What this all means to us now is, we still want to respect the rotation taking place in individual names & groups but become alot more selective on any swing entries out there .. Stick to the higher quality spots in laggards for any new swing positions .. Utilize sweeper activity more for intraday momentum purposes .. Ask yourself the question, am i ok with starting a new position here in XYZ & sitting through the potential of some digestion or pullback .. Remain tactical here while trying to still take advantage of any intraday momo generated off of aggressive sweeper activity.. The elements out there are still calling for a continuation in what we’ve been seeing to this point, with gamma exp sitting around +$2b & pressure on short-term volatility. A strong enough catalyst for the start of an unwind off this short-term positioning is where the risk enters the equation .. For now, the gravitational pull to 3100 remains until proven otherwise . At some point though, there will be a down session & chasers will catch some sort of kick in the teeth but thats where we wanna have some ammo left to take advantage ..