|
|
Did you guys notice the S&P 500 quarterly rebalance that happened Friday afternoon?
For my new traders out there, the S&P 500 and Nasdaq 100 regularly shuffle the companies that are in the two indexes. The S&P 500 — the largest tracked index in the world — rebalances on a quarterly basis, while the Nasdaq 100 is reconstituted once a year.
We already know that when indexes rebalance, professional traders hone in on these moves because there's a lot of money changing hands.
So today, we'll go over some of the S&P 500 quarterly rebalance additions and deletions. I also want to cover how I spotted these trades, what I expected the outcome would be, and how I strategized each move I made.
| | |
Watch This To Profit From the Next Rebalance | *clicking these links will automatically subscribe you to Joy of the Trade emails
| | Roger's Radar: 3 Pullback Stocks on My Radar Now | |
| The Nasdaq rose 1.2% Monday. But if you look at the number of Nasdaq 100 stocks trading above their 200-day moving averages, it's 80 out of 100. We don't usually see that high of a figure. And when we do, we tend to cool off. So I don't anticipate us staying there long.
But let's see how far that goes…
In today's video, I'll show you if the tech sector is ready to move higher… how much the iShares 20+ Year Treasury Bond (Nasdaq: TLT) could bounce back… which sector to focus on right now… and three pullback stocks on my radar right now.
You can find the first pullback stock in the Financials sector. It looks like it just hit its highest high, only to bounce back to its 50-day moving average to flush out weak hands. So in other words, I see this stock moving even higher!
| Get the Market Action | *clicking these links will automatically subscribe you to Roger's Radar emails
| | | |
| These 2 Financial Stocks Are Making Big Moves | March 22, 2021
| I have more on whether the correlation between bonds and tech will continue and two high-probability trade setups with entry and risk levels.
Continue Reading
| | | Take Advantage of This Stay-at-Home Stock's Fall Amid Reopening
| March 19, 2021
| We're talking about trading Peloton, a big, big winner over the past year that's fallen on tough times.
Continue Reading
| | |
No comments:
Post a Comment