The Market

Good morning everyone! I hope you have had a great weekend and are now gearing up for a new trading day. Last week, our plans worked out pretty flawlessly. I also mentioned on Friday that I would probably not be trading today since it's monday and the worst performing day for me of the week in the markets. However, today is Yom Kippur and I will not be missing out on todays possible intraday price movements.

For those who do not know, there is a market saying called "Sell Rosh Hashanah, Buy Yom Kippur". I am not going to go too deeply into its explination but essentially when looking back on the history of the market, the week between Rosh Hashanah and Yom Kippur has experienced large selling volumes. Nothing that would be devestating, but more times than not has the market seen downward action. However, after Yom Kippur there was a rebalance of sorts in the market. I think I heard this is because (and please excuse me if I am wrong. I do not mean any disrespect or mean to spread any misinformation about any religion. I don't ever speak about religion because its one of the most controversial topics of conversation so please if I offend you I don't mean to at all. I am just a trader trying to help myself and others make money) many Jewish traders and investors focus their attention in observance of their religious holidays and family and steer away from the markets for a period of time. Jeffery Hirsch, editor in cheif of the Stock Trader's Almanac and Almanac Investor newsletter mentions that investors are accustomed to selling their stocks to avoid large losses before the High Holidays, but being long Yom Kippur to Passover has produced more than twice as many advances, averaging gains of 6.7%. So I am interested to see how today and this week goes for the market, especially after last week's hawkish fed, we might be in for some incredible price action.

Disclaimer: I could be wildly wrong about the reasoning behind the Wall Street saying of "Sell Rosh Hashanah, Buy Yom Kippur" and I encourage you to do your own research and I hope I did not offend anyone. To be clear, my intentions of mentioning Sell Rosh Hashanah, Buy Yom Kippur is strictly for informative purposes only. The market could go up, or it could go down. How you choose to percieve this information is entirley up to you. All gains or losses experienced are credited towards the individual. Please consult with a financial advisor before placing any trades and assess your finances before trading.

Alright, it is 8:45AM NYC now, I got to hurry there is a lot to talk about.

The SPY has some support left but not much looking at the chart

The DOW closed below the trendline

The vix is saying we might have more room to the downside

Looking incredibly bearish on the weekly chart

I think the ES wants to see 4300 before a possible rejection to the upside

Apple looking like it might meet some resistance to the downside if sellers cannot enter with large volume

Not sure how I am feeling about the QQQ weekly chart

Google looks like it has room for downside here

Investors are currently bearish looking for a breakdown to 129 in the next few months

Overall, today will be an important day.

Current chart:

We might be bull flagging into the open on the day

Be careful trading today. I hope everyone makes some money