Pristine Market Analysis & Watchlist 5/2

The Stakes Have Never Been Higher

Team,

KRE regional bank stocks crumbled once again today, and Powell’s presser has the potential to bounce these stocks, or send the entire regional banking sector into the abyss. I wish I was joking, but I’m not! Let’s take a look under the hood of the market ahead of a potentially legendary trading session.

-Andrew

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Economic Data

Today’s session kicked off with JOLTs job openings coming in lighter than expected:

Treasury Selloff

TLT Long-term Treasury Bonds put in a stunning reversal candle. See how tight this price action is getting over time? ☟

We were positioned for this move via TLT calls that we entered on yesterday’s gap fill from when the banking crisis began!

We had been stalking this setup since 4/19, and pounced on it when our programmed alert appeared in Discord!

I almost chickened out! But I remembered the plan we set in place a few weeks back and took the shot! Be sure to upgrade your membership if you would like to be a part of our real-time workflow. We all take trading seriously, but we don’t take ourselves too seriously! It makes the journey a lot more fun.

Equity Dashboard

Equities softened in the morning, and were led lower by IWM and ARKK. The IWM small cap weakness is being largely driven by the continued weakness in regional banks!

Energy XLE and Financials XLF were absolutely smoked.

ES_F S&P 500 Price Action Analysis

This price action has been insane! We had a false breakdown early last week, followed by a false breakout that ended two sessions ago! It is tough to ‘trust’ what we are seeing, but it is our job to live and thrive in ambiguity. I take solace in the fact that every investor and trader has to deal with the same ambiguous market environment!

Let’s dig a bit deeper under the hood and analyze the risk/reward into the Fed meeting. If you haven’t upgraded your membership yet, what are you waiting for?

In the following sections of tonight’s update, I’ll cover my research in preparation for tomorrow’s trading session

✅ Trend Model Update - Our proprietary indicator that informs us on how aggressive/defensive to position in the market

✅Market Strategy - My trading plan

✅ Today’s Trade Blotter and Position Update

✅Daily Watchlist - We scan thousands of stocks and hand-pick the best reward/risk opportunities