Bounce to Resistance Might Signal Head and Shoulders Pattern
Now it is much more important to build a watch / trading list than it is to run in and get cut up trying to guess which way we will trend from here.
During earnings season I like to build a list around names that have already reported and may present post-earnings trading opportunities. For example, Goldman Sachs (GS) was red after what was perceived to be a positive earnings report and would trigger a short trade for me on a move below $114. On the other hand, Alcoa (AA), which showed a strong earnings report and had a positive reaction, would be an interesting long to me over last week's high of $10.24.
Today I'll be watching IBM (IBM), which was heavy before yesterday and is trading pre-market back to a key 202 level, which, if broken, may provide a short trade as well.
This and more in this morning's video found below.
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