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Trade Plan for Tuesday March 16th- Where do we buy this market?

|Includes: AKAM, iShares Russell 2000 ETF (IWM), QQQ, SBUX, SNDA, SPY

Where next do we buy this market?
We have already had a huge run to new highs and are finally getting the orderly pullback we have been waiting for. Do we buy now?

No. For starters we have the fed announcement tomorrow and days like tomorrow have the potential to trade like the currency markets trade. What do I mean by this? When you have a very important announcement like tomorrow that could impact buying and selling decisions of the large institutions you have the potential to do a few 180’s intraday. This happens in the currencies market when economic news comes out. The price will first spike higher to take out all the shorts and will quickly reverse to go lower taking out all the stops of those who are long. Both sides get whipsawed out of their positions and then the market tries to find a direction. We prefer to hold off on any new setups until at least Wednesday morning after the dust has settled.

The market action today favors a continuation move higher but the short term move is so stretched it is bad trading form to be buying at these levels.  We haven't seen stretched moves like these in quite some time.  Even if we get another couple of days out of this move who cares, the downside is just too great.   We will just enjoy the 40 plus positions we already have entered into at the proper buying points seen below.
Today we saw some early profit taking but this was followed last hour buying to minimize those losses. This pattern is quite bullish and one could normally play some continuation trades higher tomorrow but any continuation will most likely be muted by those waiting for the fed announcement anyways. We will choose to under trade on a day like tomorrow.

So what is the answer to our question where do we buy this market? The first part of the answer is we already bought this market 3 times before everyone else realized we were in bull market mode again.  You can see our entry points on the charts below.  The 2nd part of this answer is we would like to see a nice orderly pullback on top of the old highs and see them turn into new support levels.  If this happens in a nice orderly manner we would be entering into new positions and we could see one of the biggest moves in quite some time. 

Russell 2000


Here are a few charts of our open positions followed by a list of the rest of them.

RINO-is still on fire. We are now up 26.8% from our Feb 26 entry point.

SBUX- Is hitting new highs from our entry on March 8

SNDA- is still up 9.72% from last week's trade

AKAM- Up over 60% on the first trade here

Here are the rest of our open positions


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