We have a volatile week ahead of us filled with economic reports. The ADP National Employment report will be released on Wednesday at 8:15 a.m. Eastern, the next reports in focus are Initial Jobless Claims on Thursday at 8:30 a.m. Eastern, followed by Nonfarm Payroll on Friday at 8:30 a.m. Eastern.
After ending last week with a drop, the S&P 500 (/ES) is down 1% before Monday’s open, with the Nasdaq (/NQ) also down almost 2%.
/ES dropped to its 50-day simple moving average (SMA) at $4,012. We’re looking for a gap fill above toward $4,056 and a potential rejection leading /ES to my first target at $3,978. My second target is $3,955, and my farthest target is $3,900 at the market’s downside structure.
If /ES rallies and breaks $4,100, pay attention to a potential reversion to the daily 21 exponential moving average (EMA) at $4,136.
Focused List
NVDA – On Monday, see if NVDA can fill its small gap below from $160 to $157. If it moves lower with the market, my first target is the top of the zone at $155. The second target is $152.
SHOP – With the market going lower, we want to pay attention to SHOP trading at its zone below $31. If SHOP breaks $31, our next target is the earnings low at $29. Pay attention to the downside structure at $33 as SHOP could work its way back towards.
Join me live in the Simpler Day Trading room this week. Tune in to trade these and even more of my setups, as well as look for more potential opportunities in the market.
Stay Focused!