The SPY has now clearly & impulsively broken below the previously posted 60 minute bearish rising pattern, triggered the first decent sell signal for the broad market in a while. The targets posted earlier are still my current downside targets for the SPY, with T2 as my preferred target. However, I am not adding the SPY as an official trade idea, preferring to short the most bearish looking individual stocks and/or sectors.
On a related note, all 5 of the recently posted short trade setups, BXS, CSGP, PNC, PACW, & KRE are all Active Short Trades now, having either triggered the previously posted entry criteria and/or added directly as an Active Trade at the time of the initial post. However, all of those trades also remain in the Short Setups category as they still offer objective entries around current levels. Only FRC remains as a potential short trade idea as I’m still waiting to see if it trades below the T1 support level again soon, plus I’d prefer to see it work off the extreme near-term overbought conditions as a result of the huge drop in the stock immediately following the breakdown yesterday. Also note that CSGP is not a regional banking stock, unlike the rest of the recently added short trade ideas. I do have a watch-list of other potential short trades in various sectors & I will post some of the more promising candidates later today.