After the Federal Reserve statement on Wednesday, the S&P 500 (SPX) short squeezed up to its 21 exponential moving average (EMA). On Thursday, the market flushed and wiped out the entire move. In hindsight, this would have been a spot we’d like to short the SPX and names like AAPL and TSLA.
We’ll wait for the next potential bounce to enter our short positions. Ideally, we want to enter these positions as close to the 21 EMA as possible.
In this video, we’ll review key things to keep in mind heading into next week and names on both our bearish and bullish watchlists that we’ll look to short on a pop or buy on a dip.
Stay Focused!