October 5, 2022

An early sell-off found a low 65 minutes into today's session, with prices moving up the rest of the day.

After a two-day run-up the likes of which hadn't been seen since '20, the activity was roundly positive, if modestly in the red by the close.

Once again, energy led all comers. The sector has now outperformed for seven-straight days.

The other broad sector with obvious strength is healthcare.

There remains a scarcity of pattern setups. As a result, we should be taking things slow in this market, if we take anything at all.

There is nothing wrong with continuing to sit in cash. Remember that breakouts showing 20% follow-through, a favored litmus test of any market, are few and far between.

Among the names, the following are believed to be the most attractive for our strategy of speculation in the $13+ market. Click to zoom in.

Chord Energy (CHRD)

WillScot Mobile MiniHolding (WSC)

In summation, this is a go-slow market that is best handled via a cash position. For more-aggressive players, there are not enough pattern setups to warrant anything more than a nibbler's approach.

Kevin Marder

Trading Lessons
Introduction to the service (38:00)
Money management and risk management (20:27)
Bread and butter pullback (11:10)
Bread and butter pullback: Pt II (15:09)
Bread and butter pullback: Pt III (31:48)
Bread and butter pullback: Pt IV (30:16)
Bread and butter pullback: Pt V (1:41)
System R
Short-selling (25:53)
Wyckoff spring reversal (2:30) 
5-minute breakup test (8:01)
Screens (21:03)
The Income Model