All right, Well, good morning. It's about 9 00 a.m and the S P 500 is down one percent right now. The consumer Price index uh, was not the number that was expected. The actual came in a little higher for inflation.

So we've got this drop in the overall market and we're back to yesterday's low. You know, pretty quickly. Uh, just right back to yesterday's low. So initially at 7, 7, 30, 8, it was looking like okay.

market's gapping up a little bit. Maybe we're going to have something we can work with, but now with this sell-off back down to yesterday's low, that's certainly hurting. uh, the long opportunities. The market's basing out a little bit.

It looks like maybe just for a moment here, but I'm not a buyer on it yet. Sqq. Some traders were watching this for a long, which gave a nice squeeze from 51 all the way up to 56. Here, this trades well pretty closely to the overall mark.

It's inverse, but inverse to the Qs, so you could trade that as a vehicle to try to capitalize on the market selling off. So if the market sells off, you could be a buyer on Sqq. If the market starts bouncing, you could be a buyer on T. Qqq.

Of course, you could also trade calls and puts on the S P 500 as you'd like. But uh, in any case, um, you know, for right now, I'm at no trades on the day and we've got this real headwind with the overall market being down As much as it is, you know we could look at some of the stocks that are gapping down here for, you know, possible continuation lower Of course. For me, any gains that I make on the short side are taxable, so it's not. I don't have as much incentive to focus on trading to the short side as I do to the long side.

My long profit is tax-free because of the ability to trade in a retirement account. You can't short, however, in a retirement account. So looking at some of the leading gappers to the downside: Grwg on Ds down 21 Kplt yes, I saw Vroo today, no trades on it. Uh, popped up, you know, a bit here, but floats a bit higher Rdbx being bought out uh or merging with uh Chicken Soup for the soul entertainment.

So Csse that was the last stock to pop on the high day momo scanner, but not a lot is going to be hitting the high day momo scanner considering the market is down quite a bit. so 9 a.m you know, top of the hour we have a couple headlines coming out but not seeing anything hitting high a day momo scanner just yet. It's certainly possible you could have a stock that has, uh, you know, its own standalone catalyst and that that offers, uh, an opportunity to the long side. but uh, you know it's you're gonna have a headwind on anything today.

I think to the long side. so leading gap is only 24. so there's the S P. 500 Tesla is pulled back as well, which makes sense.

The charts are all sort of the same, so at the moment more than anything just keeping an eye on the overall market. So pretty strong sell-off light volume bounce. Um Vero. Yeah, I don't really think we're gonna have halts down in the market today.

I don't really think so. but you know one of the problems is that the overall market on the daily you know below yesterday's low. Uh, you know that's where we can get capitulation. And we could.

We could start to sell off faster. So it's true that we could start to sell off faster. If we break through yesterday's low and we continue to roll over, you'll have some capitulation. Nice little bounce off the low there curling back up so you got first pull back, second pull back, and then that reversal.

So yeah, you do have a pretty valid trend line here that we're coming into you. so you could see that trend line right down here on the daily you. So we'll see how we'll see how things kind of settle out today. so we have about 15 minutes to the opening bell.

No trades pre-market no individual stocks that are really looking interesting or strong or trustworthy. so watching the overall market at the open and we'll be seeing if we get any opportunities there for long or short on the overall market. and then we'll watch to see if anything pops up and hits the high day momo scanner and starts to show some conviction. Some follow through and that could provide a an opportunity as well, but I'm gonna try to take it a little slow this morning considering there really isn't anything that looks that great.

And yes I saw Viru. I did look at it earlier but no trades on it needs to get back above volume, weight, average price and it could. It could get back above ewap and give a little uh you know, a little pop and we could get some action on it but I'm not really sure. so right now it's just not in the right position to take a trade so no trades this.

Wow. Let's try to keep it on topic guys. Uh, Rdbx. No interest in that down fifty percent News that uh, chicken Soup for the Soul Entertainment is acquiring them.

Is the company stock buyback good? Yeah, it is it. It is good. It's criticized sometimes, Uh, but they're buying back their own stock because they believe their the that money is worth more reinvesting in the actual stock. but on the other hand you know shouldn't and could in the company be investing that same money in expanding the actual company.

So if they're doing a share buyback it's kind of like in a way they don't feel like they can invest more in actually growing the company because otherwise they would just spend the money doing that. So it's it's You know, it's a vote that of confidence that they've got so much extra money they can just buy back their own stock. But the whole idea of doing an initial public offering is to raise money. So you know the idea is you have something you want to do like you know, build a huge Tesla plant.

but you don't have the money to do it. Therefore, you pitch the offer that if you invest in the company, this is what we're going to do. So when they sell all those shares, all that money goes into the company allows them to invest in all those growth initiatives. and if they're successful, all the investors are rewarded as the price of the stock goes up.

If they are not successful, the price of the stock declines and investors are sad, right? So you know. But the fact that they don't have something that they can spend that money on to help the company make more money is a little. You know that's what some people be critical of. Thanks Tyler! Appreciate that.

Appreciate you guys hitting the thumbs up you. Hmm. S Q Q Q and T Q Q Q are both derivatives of Q Q Q. Yeah, Cyn actually broke out after hours it looks like went up to 578 and then back down.

All in all, held fairly well. yeah yesterday, but yeah, so we've got six and a half minutes the opening bell. S P is back up to the volume weight average price. so you know it has bounds for sure, but we're under volume weight average price.

Not sure if it's going to get back over that so it could be a short off of V app for a sell-off and a retest of 394.77 approximately yesterday's low. It could be along on the Breakthrough View app or a short down to yesterday's low and then along off of that level. So at the moment, no trades for me coming into the opening Bell. Since I'm looking at the S P 500 Sqq Tqq.

you know these are not the typical trades for me. coinbase. Uh, let's see traders mentioning this selling off on poor earnings. Some other disclosures in there so kind of interesting, but you know, leaving that again for right now, I just that's getting outside my wheelhouse to start trading those types of stocks.

Uvxy. Yeah, if the market sells off hard, you could get opportunities on the Vix as well. So again, like I said the other day, this is a good market to be practicing in the simulator taking it slow. If you're not seeing me taking a lot of trades real money, you know that's that's an indicator that things are.

Things are slow. So you're trying to be stubborn and just aggressively trade real money. During this stretch. it's much better just to settle in, except that we're in a period where we've got a headwind for Momentum in general and that is going to hurt you whether you're long or short.

A short seller is going to make more money when stocks are going up 400 and they can short them off the top. You know we are in a market where small caps are subdued as the overall market is taking a little bit more attention. so it's just time to be a little bit patient. This is the ebb and the flow of trading and you know you can't have the good without the bad.

You can't. you know, have the hot markets if you can't get through the slow markets. so you want to try to make enough during a hot market to tide you over when it's slow and then when it is slow, you can sit back a little bit and maybe these are days that you can get some other work done. So I've already been watching since about 7 a.m no trades, so I've been sitting on my hands for two hours.

I can do it for another two hours if I have to, but I'm probably not going to sit here till 11 30. if I don't have any trades by 10 10 30, I probably won't take any trades today and I'll just come back tomorrow. All right, two and a half minutes. The opening bell looks like a slow morning for Momentum Traders, but can keep an eye on the overall market and see if we do get a significant sell-off.

If perhaps there's opportunities on the Vix or on Sqq or Tqqq so that's the game plan. Reminders always that trading is risky and my results are not typical, so take it slow. Don't trade with real money until you first proven profitability in the simulator. You.