Plan A: We sell-off hard and bounce. This is the plan we like most but think it's least likely to occur since many of the alerts are between 3-10% away. We'd buy the reversal of support for a bounce.
Plan B: We open flat and rally. This could happen and would be the most tricky for us. We'd probably just focus on a few ETFs in order to catch any rally XME OIH SPY and base our entries on intraday set-ups. Most likely plan to occur and the one we like the least.
Plan C: We sell-off somewhat, but do not hit our alerts and then rally. This will also require a bit of quick thinking, but should not be as difficult as Plan B. Note that many stocks closed on support on Friday. If we feel like the market is going to bounce then we would buy the weakness for a rally back into Friday support (overshoot strategy). The difference between this plan and plan A is that while the market sells off it doesn't sell-off enough to hit the alerts.
Plan D: We have trend-day down. Unlikely but if it occurs we'd probably take small losses all day long trying to catch bounces that turn out to be head-fakes.
Plan A is easy but unlikely, Plan B and C are much more realistic, and Plan D the long shot. If there ever was a time thus far this year to bring your A-game to the office it's tomorrow.
See you tomorrow. HCPG
Swing Trading Setups July 6, 2015
21 minutes ago