These are my thoughts on the SPY ETF in my Daily Trade Ideas.
“That which does not kill us makes us stronger.”— Friedrich Nietzsche
A strong gap to open the day but it began to fade early, so I shorted off resistance in the SPDR S&P 500 (NYSE:SPY) and have a 10% short weighting from 198.60.
I have harped about not holding anything overnight for the past week or so, but the action today told me to hang onto my short tonight, so I did.
We will see if I’m right or not in the morning, but I do have a good sized cushion here, so chances are I’ll still book some sort of gain, or at worst, perhaps be out at cost.
SPY fell back off resistance perfectly and is now looking to break the 193 area, which can also be shorted and then we may well move to find a new low before this correction is all said and done.
All in all, trading small and being able to be nimble remains key as we continue to not see much of a trend for another month or so, most likely.
If it weren’t for rain coming I’d hop on the bike and do the awesome Cabot Trail for a couple days, maybe next week.