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The Wagner Daily – Swing Trading the Short Side: $ABNB and $MTCH’s Bounce into Declining 20-day EMAs

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The Wagner Daily – January 6, 2023

Below is the full, archived issue of The Wagner Daily swing trading report (sent to members the night before the publication date).

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MTG Market Timing Model –  Sell (as of 12/15/22) due to a break of 20ema in the S&P 500

Our timing model was designed to keep our trades in line with the prevailing market trend, not to call tops or catch bottoms in S&P 500 or Nasdaq Composite.

today’s watchlist along with open and closed positions:

 

position notes:

  • No trades triggered.

Commentary: 

Nasdaq 100 ETF $QQQ closed below support for the second time in two weeks.  In late December, the close below support was a one day shakeout.  Given that the price action has failed to reclaim the declining 8-day EMA,  the odds are favorable for a test of the October low.  

The S&P 500 is still holding support at 3,800 but is unable to close above the declining 8-day EMA and hold.    

Energy stocks are struggling to hold on to leadership status.  $XLE has yet to reclaim its downtrend line or the 50-day MA.  

If big cap leadership within the sector such as $SLB fails to hold up then energy could see some heavy selling during the first half of 2023.

There are no new setups for Friday.   

On the short side, $ABNB and $MTCH are bouncing into the declining 20-day EMAs after a false breakdown beneath the lows of the base.

Both are potentially in play on the short side within the next few days. 

Unofficial Setups 

  • Longs – watching $SLB $TDW $BOX $CPRX
  • Shorts – watching $ABNB $MTCH

 

Rick 

Click here to view this week’s watchlist in google sheets

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Rick

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