Market Milestones: Bull Horns on a Cadillac

[Image] Good morning ! What is up fellow traders? There is a right answer to that question and that answer is, the markets. What a wonderful week it was for the bulls. The bears are getting thoroughly smoked. I’m talking bust out the Traeger for a full day long cookout kind of smoked! This brings a whole new meaning to smoky the bear. Smoky is now an adjective after the bears were set a blaze, torched, squeezed and burned. If you were not bullish you are feeling FOMO, if you were bullish but only tepidly, you are feeling FOMO. Essentially, if you were anything but full-blown bull parade, driving around a Cadillac with giant long horns on the hood style bullish, you might be feeling at least a smidge of FOMO right now. On a side note, The Traders Plan Portfolio has been driving around that Cadillac and slaying this bull trend. One of our portfolios is 50% NVDA and 50% META, with NVDA now up 87% since our entry in January! Our latest QQQ entry is up 14%, almost doubling the average yearly returns of the market at this point. [Learn About The Traders Plan Newsletter]( I mentioned last week that the risk reward was starting to skew to the bear side. Obviously, I was at least a week too early with that statement, but if I keep saying it week after week after week it will eventually be right, right? All kidding aside, I’m not a permabear by any stretch of the imagination, I love bull markets, but I always look for my risk reward to make sense. I look for levels of resistance to get cautious at and I think we are very close to the cautious zone. I think risk reward skews bearish when entering trades at these levels, especially after Thursdays lightsaber candle. FOMOing into bull positions at this point is not a wise move. The QQQ hit an upper trendline, depending on how you draw it. It looks to be in a wave 5, and fifth waves can be a very long and strong. The pattern since the October low has been chaotic and overlapping leading me to theorize it is a corrective wave or it is a leading diagonal. Either way, it is proving its strength and shorting this move should be done carefully and with very good risk mitigation. For the bullish case, as if they need one, we did move sideways for about 30 trading days before breaking out bullish. That consolidation and rest has given the markets the energy for a strong bullish push higher. QQQ has some very interesting unfilled gaps up at $350 and $360 so those could act as target. For any bullish entries, buying a pullback is going to give the best risk reward, and keep that FOMO at bay. At some point I think we will get a nice 10% correction in the QQQ and the SPY which will either be a B wave or a 2nd wave. The market has proven it does not want to go down, at least just yet. [Image]( ETF of the Week Todays ETF of the week is going to be United States Natural Gas Fund (UNG). This thing has been absolutely crushed and participated in almost none of the 2023 bullish price action, except for Thursday. Not even UNG could resist the bull pump! UNG shares were up 8.41% putting in a new relative high with a double bottom. Buying the retest of the double bottom neckline and the long day candle seems like a very reasonable way to try to call the bottom on UNG. We are doing some serious bottom fishing on this one and might end up reeling in an old shoe, but if it works out we could end up hooking ourselves a nice shiny R or two. UNG [Image]( Enjoy your weekend, Yates Craig, RLT & TPN Market Analyst Disclosure: You are responsible for your own trading decisions. ALWAYS, do your own research before investing in any of the above securities. This is not a solicitation to buy/sell ETFs or securities. NEVER invest money in ETFs or stocks that you can't afford to lose. You can lose all of your capital by trading any securities mentioned. These ETFs/securities are very volatile and gain and lose value quickly. We reserve the right to freely trade in any mentioned ETFs or securities. We are not compensated by any mentioned companies. We trade ETFs and securities based on our opinion of intrinsic/possible future value only. We are not registered investment advisors, so always do your own research before buying any securities. Unable to view? Read it [online]( If you no longer wish to receive mail from us, you can [unsubscribe]( Sent from: Real Life Trading in Nashville TN 37221