Bank On This Trade

see the trade of the week inside... You receive this email, because you signed up to get email from YellowTunnel newsletter on 06/30/21.  If you no longer wish to receive any emails from YellowTunnel, please use the "Unsubscribe" link towards the bottom of this email. August 15th, 2021 | Issue 90 Hello Traders, The split personality of the stock market has taken yet another turn back to favoring the reflation stocks. Only a week ago, the yield on the 10-yr Treasury was looking at if it would trade below 1.0%, which would have been a bad harbinger for most stocks, as it would imply a sharp economic slowdown was just up ahead – the delta variant being the culprit.  As it turned out, a powerfully strong jobs report and the notion of a done deal for the $1.1 trillion infrastructure bill triggered bullish sentiment where bond yields rose, as did all sectors most leveraged to an economic rebound. A lot still has to happen in Congress to pass the bill that House Majority Leader wants to tie together to the larger $3.5 economic plan for passage, but the perception is that big spending on the economy and people is coming before year-end.  There is also the growing feeling that the delta variant spread is peaking in the most hard-hit states coupled with the move by the CDC to approve a third booster shot for those vaccinated people with underlying conditions. Add to this a higher-than-forecast Producer Price Index reading and a negative advance/decline lines for both the NYSE and the NSDAQ and were pretty much at the same place as we were a week ago.  Big cap mega software stocks reared up on Thursday to offset a broad decline in the semiconductor sectors after Micron Technology Inc. (MU) traded sharply lower on a well-respected analyst downgrade. It’s as if the market really can’t make up its mind where stock picking is at a major premium and where the power of our AI models in our Weekly Power Trader advisory service are crucial to guiding where to invest.    To great returns, [Image] Vlad Karpel YellowTunnel and Tradespoon Founder P.S. Please see below for access to the Power Trading Live Strategy Roundtable presentation I recorded on Thursday, July 29th. The link is below...  P.P.S. Please note our new sections called Trading Concepts. This sections is designed to bring aspiring and experienced traders weekly insights to the short-term trading landscape, sector analysis, stocks and ETFs in focus, views and opinions on trading discipline and a review of what type of trading strategies are working best. TRADE IDEA OF THE WEEK Goldman Sachs Group Inc. (GS) is the clear leader in the financial sector breakout. As a Dow component, the stock has proven to be the go-to name in this rally within the financial sector. Huge profits from proprietary trading, M&A and institutional asset management are driving earnings sharply higher in the current environment.    What sets Goldman apart is its draw to get the biggest deals done on a global scale. Be it mergers, stock offerings, financings or the gathering of AUM from uber-wealthy investors, Goldman still retains the title of champion among investment banks.  With money flow starting to pour into the financial sector, the spotlight is clearly on GS for further leadership and that is why we only trade the first-tier names that matter most to the largest pools of money around the globe... [Click here to continue to this week’s Power Trade pick…]( (Advertisement)  Dear Subscriber,  To be clear, I wasn’t excited to see the Delta variant extend the pandemic. Many, many lives have been negatively affected by the COVID-19 pandemic.  The world and the market are changing drastically, I am about to put my trading algorithm to the ultimate test.  You see, it’s easy to make money in a bull market - and we were in the middle or maybe near the end of a historic run.  I spent years building a sophisticated, proprietary trading algorithm that would be immune from overall market performance.  And here’s the best part: when you [click here, you can join me for the next 30 days... Â](  Wishing you and yours the very best, Regards, Vlad Karpel Chief Investment Officer/Founder P.S. [Click here, to join me for the next 30 days... Â]( CURRENT TRADING LANDSCAPE  [Alternate text](  There are more technical cracks in the body of the rally that invite the probability of a normal correction occurring by month-end. The $SPY continued to make incremental gains. The value/reflationary stocks paused Thursday as technology stocks closed higher. The $DXY has broken above $90.60 resistance and has confirmed its break-out. The next level of resistance is at $93. The $TLT pulled back and has more room to the upside (lower yield) short-term.  Based on the steep correction in the reflationary stocks, strong dollar and overbought technology stocks, the market will continue the correction in August. The $SPY short-term support level is at $435, followed by $430. The SPY overhead resistance is at $445. I expect the next stage of correction to resume this week or next. I would be a buyer of value stocks on corrections and sell technology stocks on any rallies... [Click here to read more…]( SECTOR SPOTLIGHT  [Alternate text](  As traders try to sort out the growth versus value debate, my AI models are flashing buy signals for the financials. Bond yields sprinted higher and the bank sector remains under-owned by large institutional fund managers still camped out in growth stocks. The full conviction of the investing public is just not there yet for the financials – not after seeing the 10-yr Treasury yield dip to 1.12% just a week ago.  But the lack of conviction is fast to change when this sector starts adding to this past week’s gains. Money flow is good, inflationary data bodes well for higher bond yields and strong operations in lending, trading, investment banking and credit underpins a robust base for bullish future earnings results in the current quarter and beyond.  The Financial Select Sector SPDR ETF (XLF) traded to a new all-time high and tells the tale of the tape where money rushed into the sector this past week that smacks of an epiphany of FOMO... [Click here to review the TOP HOLDINGS and Market analysis…]( Power Trading Live Strategy Roundtable To effectively compete in the rapidly moving equity markets, active day traders and swing traders must stay ahead of new market innovations and technological changes used by hedge fund traders and proprietary trading firms. With traders like you in mind, we designed this intensive roundtable where you will deepen your understanding of all aspects of stock and options trading. [Click Here To Watch]( NOTE: We encourage all subscribers [to view the instructional videos]( on how to best use your membership and invite our members to participate in live weekly strategy roundtable workshops that are also archived for your convenience so that they can to be viewed at a later time. TRADING CONCEPTS Understanding the Risk Spectrum in the Stock Market Trading goals are important for trading in the stock market. What do trading goals do? They help traders stay motivated, keep them on track with their trading plan and achieve the success all traders look for.  One established trading goal is a trading plan for the future. When trading goals are set, traders know what to focus on and how they will measure their success or failure... [Click here to read more...](  DISCLAIMER: Vlad and his team may have a financial interest in the picks as they trade many of the same equities and options they pick. Vlad Karpel and YellowTunnel (Company) is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. All investing strategies are made available to the general public on a regular basis.  We do not provide personalized financial advice or investment recommendations. As an investor, you know that any kind of investment opportunity has its risks. There is no such thing as low risk stocks and we recommend you invest wisely and that only risk capital should be used to trade. Investing in Stocks and Options is highly speculative. No representation is being made that the use of this strategy or any system or trading methodology will generate profits. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on here and on our web site. The past performance of any trading system or methodology is not necessarily indicative of future results. All of the content on our website and in our email alerts is for informational purposes only, and should not be construed as an offer, or solicitation of an offer, to buy or sell securities. Remember, you should always consult with a licensed securities professional before purchasing or selling securities of companies profiled or discussed on YellowTunnel.com. Performance results that are discussed above are from the Live Trading Room , multiple YellowTunnel tools were used to achieve these results. Trade % Gain/Loss is calculated by dividing the $ Gain/Loss by the Max Risk which is the posted Stop Loss for the trade.  Double-digit returns are not typical and are not intended to reflect the likelihood of similar returns in the future. This email was sent to {EMAIL} by info@yellowtunnel.com. Questions or inquiries regarding the website and/or service may be submitted via email to i[nfo@yellowtunnel.com](mailto:Info@Yellowtunnel.com?subject=Questions%20or%20Inquires%20PTM%20Blog). You may also complete our [inquiry form located here](.  YellowTunnel LLC, 318 Half Day Rd., Suite #215, Buffalo Grove, Illinois 60089. Website: [](  Copyright © 2021 Yellow Tunnel LLC. All rights reserved. [Facebook]( [Twitter]( [Instagram]( In order to unsubscribe from this mailing list, please click [here](