Trade Plan for 7/18-7/22

I Got the Power

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Last week was a tricky week for markets because while the weekly candles looked quite bullish closing at the highs, they also closed at the pivotal resistance I noted. I took a slightly bullish bias for the week, meaning that I was looking to buy dips.  The first major pivot to buy was $ES hitting my 3756 support pivot.  I bought it there Wednesday morning (the low was 3752), and then closed most of it throughout the day (the high was 3834), because as I had noted in the video, it was a ‘high risk’ trade there.  Thursday we dove deeper and while $ES and $NQ were both below supports, $RTY was the last index to hit its support.  I saw that sentiment was very bearish, considered that if the market was going down I’d have lots of space to flip, and so I decided to take the long on $RTY at that support (1682 weekly/1685 daily) and then took the $ES/$NQ longs as well once they flashed back above supports.  💰💰💰

Julia Cordova✨ @CordovaTrades

$RTY is attempting to bounce from both daily and weekly support and it's the last player at the blackjack table before we see what the dealer has. (the other players hands are not good) $IWM

I maintained a bullish outlook on oil, but suggested a conservative approach waiting until it got above resistance to take the trade.

This week I have an ‘all or nothing’ theory on price action across indices, metals and energy I will share. SLMacro profiles battery company Enovix $ENVX.

Summary of Market Action Last Week:

• $ES/S&P 500 Futures, $NQ/Nasdaq futures and $RTY/Small caps futures gapped down and didn’t tick much (if any) higher than their weekly opens declining substantially before a strong late week bounce.  All closed slightly red this week, with $ES being the only one to have made a lower low week over week, but also closing the least down.  $NQ and $RTY formed inside candles for the week.  All 3 remain below resistance. 💅

• Precious metals and $GDX (gold miners) continued falling without a lot of bounce. No respite yet again for metals bulls. $GDX filled a gap left in April of 2020.

• $CL/Crude Oil futures declined again making a lower low week over week. There was another pretty good bounce from the new low, but it doesn’t look as resilient as the previous week.  $XOP (oil equities) were also red on the week, but showed relative strength with a higher low from the past week. 

Here’s how the week closed out:

For the week ahead (7/18-7/22/22)