A Quick Dabble in the Trade: Market Analysis and Setups for the Astute Trader

A Quick Dabble in the Trade: Market Analysis and Setups for the Astute Trader

Nov 13, 2023

Hello fellow traders! It’s your favorite market geek, Andy, from Trade Ideas, all revved up to bifurcate some market data on this chilly November 13th Monday morning! Let’s pivot, peer, and ponder on the multi-colored market matrix that sprawls before our eyes like a well-used Monopoly board.

The IWM: Out in the Cold

First stop on our Monday morning market mosey, the IWM. It seems to have taken the role of Wallflower at this market party. Not only is it not shaking a leg to the wild beat of market trends, it hasn’t even moved a smidge. Any bar reversal? Nada. Zero. Zilch. Not a sausage, over the last, let’s say, six trading days? Talk about a non-participant!

With the aloof IWM mastering the art of non-participation, the scene is set for some serious market bifurcation, folks.

The Mighty SPY and the Big Cap Qs: Rising Stars

In stark, jarring contrast to the IWM, we have the SPYs luxuriating at a one and a half month high. The Qs, joining the joyride, are on a similar uphill run. There’s a breath-taking amount of strength being flexed by the big cap Qs which, admittedly, might need a bit of a breather now. But, hang on… Do I spy a gap down in the market?

Top Performers: LI, JBL, PUBM, and VALEI

Despite this, I’m not seeing an empty landscape – conversely, there are some rather attractive setups basking in the market sun today:

  • LI (Lee): Sitting snugly at the top of my list, LI has proved a judicious buy last Friday, observing its graceful dance off the ten-period moving average. Given that Lee’s earnings have glowed healthy numbers recently, it’s an intriguing prospect. A possible bar reversal might factor into any decision to add more, market backdrop permitting.
  • JBL (Jabil): Next up is Jabil, flaunting the potential for a handsome break if it musters momentum enough to outstrip its two-week high of $130. I’ve set a price alert for this one, so fingers crossed!
  • PUBM (PubMatic): An interesting one this – it sailed through earnings a few days back (always a promising sign), and presents an enticing gap that it might fill. Its Thursday volume was impressively robust, followed by a doji day on Friday that hints at its ‘go-pause-go’ candidacy.
  • VALEI (Vale): To wrap up our brief tour of today’s setups, Vale demands attention for its tantalising proximity to crunching the $14.75 level. Definitely one to keep an eye on!

I hope this whirlwind market analysis has whetted your trading appetite and primed you for the action-packed week to come.

That’s it from me for today, traders. Look out for more market musings tomorrow.

“The market is a device for transferring money from the impatient to the patient.” – Warren Buffett

So, let’s all keep our market eyes wide open. Bye for now!