Stocks Have A Disastrous Roller Coaster Trading Session On September 30

That was one of the most bizarre trading sessions I have witnessed in some time, with future sharply lower overnight and then zooming higher after the open, to come crashing down in the final hour or so. There was a nearly 3% range on the S&P 500 futures from bottom to top, hoping for a stimulus deal. 

The futures finished the day below the downtrend and below the moving average. It gives me the sense of a failed breakout attempt. But with a lack of confirmation from the S&P 500 cash market, we are left to wonder what tomorrow holds. My feeling is that the futures drift lower overnight; we can put this into the camp of a failed breakout for the S&P 500 cash market too.  If that is the case, we should find ourselves trading back below 3,300 relatively soon. 

Booking.com filled the gap at $1,725 and appeared to be forming a bullish ascending triangle. Perhaps it leads to an advance to $1,795.

 

Intel is very close to making a big move, potentially higher. It is now flirting with a break out at $52.20. If that happens, it has a big gap to fill. The RSI continues to trend higher, and momentum is entering the stock. It looks 50/50 now, but a break of resistance will be a big plus for Intel.

Shopify keeps losing more and more momentum. The stock’s RSI continues to move down, and I think this one is heading below $850. This is a hunch on my part. Typically, when you see such a negative pattern on the RSI, the stock price isn’t too far behind. 

We’ll leave it there. I have only been working half days this week :). 

Disclosure: Mott Capital Management, LLC is a registered investment adviser. Information ...

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