My Swing Trading Approach

I'm not liking the news out of Apple (AAPL) this morning and the impact that it has and will likely have throughout the trading day. With Apple warning, you have a new issue for this market to worry and fear, and that is the prospect of a disappointing earnings season. Guard yourself to the long side. 

Indicators

• Volatility Index (VIX) - For a fifth straight day, the VIX continues to erode, dropping another 8.7% taking it down to 23.22. 
• T2108 (% of stocks trading above their 40-day moving average): Sitting at 12% - little movement considering how oversold it currently is - a concern for the bulls in this market. 
• Moving averages (SPX): The 5 and 10-day moving averages will get tested today.

Sectors to Watch Today

Despite the market being up noticeably over the last five trading sessions, you aren't seeing a lot of recovery in the sector, or at least it isn't broad-based. Energy led the way yesterday with a very overdue rally. 

My Market Sentiment

Resistance overhead could really hurt the market's chances at a continued rebound. That coupled with the price action in AAPL, there are new headwinds for the market to deal with today. 

S&P 500 Technical Analysis

(Click on image to enlarge)

Current Stock Trading Portfolio Balance

• 20% long.