Astute Strategist Blog

Market Context
Good day all,

What a week and nothing to show for it. The S&P 500 moved a whopping 1.39 points for the week. The important piece of information is where the S&P reached and where it closed. Having hit a high this week of 2739 (which was just shy of the 200-day moving average) followed by a low of 2681, the 68 point swing has us yet again confirming that there is yet to be a breakout in either direction.

Now the question, where are we going from here? It really is tough to say, the more I watch price action, the more I am leaning toward testing of lows. This week we saw a low of 2681 and yet again for the week we manage to remain above 2700. If I had to choose I would say we are on a path that is much closer to resistance than support, so with the price levels of 2715 and 2725 not being broken through on a closing basis for the week, we could be heading back toward those numbers before heading lower. Fighting an uptrend can be dangerous and downright painful and while I am more bearish, I would not be surprised if we have further upside, it is all about being nimble and adapting with change.

Day and swing trading is not for everyone, so where do we put our hard earned money? Government bonds? Indexes? ETFs? Any of those can be a good idea, the secret is knowing how to control the risk that is invested in the market. Which is why Astute Strategist is pleased to announce the unveiling of Astute Millionaire: 5 Steps to Your First or Next Million.

Astute Millionaire is going to be an educational online class, where we buy stock, show you how to use options to hedge the stock and illustrate the power of compounding. It’s going to be held weekly for roughly 1 hour and if by chance you can’t make it because of commitments, do not worry, its recorded and each class will be available for you to watch at your convenience.

The Astute Millionaire course costs less than your breakfast each day. That was not a typo, it works out to $2.66 a day. The objective here is simple, control your money and invest in your future.
Confirm your spot here.

Risk & Reward
Below is a 5-day chart of the S&P 500. You can see the market is moving but as for right now, seems to be stalled on advancing. This market repeatedly reminds me of Journey lyrics “Working hard to get my fill, everybody wants a thrill payin’ anything to roll the dice just one more time, some will win some will lose, some were born to sing the blues, oh the movie that never ends it goes on and on and on and on.”