This week we saw the markets go up, down, and ultimately nowhere.
We had the final Federal Reserve meeting of the year along with quad-witching expiration on Friday. Throw into the mix the quarter-end rebalancing and tax-loss selling, and this week made the perfect trio of events for a chopfest.
Looking outside of the chop, the SPY continues to set up in a bullish daily squeeze with a positive histogram and stacked exponential moving averages. This is nested inside of the bullish weekly squeeze. With this trio of catalysts out of our way, it’s time to see if the indexes can finally start firing squeezes to the upside next week.
Should the markets rally into January from here, “everything” will likely rally with it. As always, we want to focus on the cleanest setups possible. From our scan results, following are charts of some of the setups we believe are poised for solid moves higher – if the markets get to ripping higher.
1. SMH
2. F
3. QCOM
4. ON
5. GOOGL
6. AMZN
Stay Focused!