IYT trade ideas
sleepless nights aheadjust doesn't look healthy. Zero price discovery buy-everything market, f*ker is going vertical and using anything & everything as an excuse to do so. All greed & no fear. Vix tanking to a new low. Shit is getting really scary. May 21 270 put, buying another when it touches $281.21 - which could easily be in a few hours. That said, looks like it's evaluating based on the 5m chart...
One Hell of a Distorted Forward-Looking AssessmentTransports haven't rallied like this since the Roaring 20's. I'm seeing some blatant money grabs going on in the IYT, names like CAR, a turd rental company reporting negative earnings and up 500% since pandemic lows, stupid chases into cruiselines, etc. The shit is not real, this economy is not that good, business travel will likely never come back pre-pandemic, at least not until 2025. C'mon, culture has changed, companies will be lucky to simply get quality staff via remote let alone come into the office. f that.
There's a of people trying to call the top in the SPY, (which also needs a healthy 15-20% correction. But the transports need to fall first, and as of late, they're truly bulletproof. Since February of this year, this thing has gone parabolic, it'll likely come face to face with seasonality and a reality gut check. Nobody wants to sit in cash, but f nobody wants to hold the bag at these levels either. We're about to find out how smart the smart money is..this summer no less.
Rolling into some July puts on the IYT once we get a nice whipsaw day/week. Already seeing it in the IWM. Volatility waking up, sold UVXY calls yesterday, loaded up more today.
Transports: Consolidating during market downturnTechnical
20sma is being supportive, but it is recommended to keep your stops somewhat below the average.
A close below $190 would be a bearish warning.
The broad market has been taking a downturn over the past week. The Transportation industry has been consolidating, showing relative strength over the rest of the market.
Fundamental
While the white house cannot get it together to pass the fiscal stimulus, transportation could be a gainer as it is likely they will spend on Infrastructure.
IYT Transport Golden cross continuation in septemberIYT Transport Golden cross on Aug 21, looking for continuation. You can see the accumulation candles in the chart. The top 4 holdings are FDX, UNP, NSC and KSU, which make up over 40% of ETF. Using seasonality charts, IYT in sept is up 2.5% the past 4 years.
Come Along And Ride The Fantastic Voyage!!!!Transports whispering....The Canary In The Coal Mine. P&T get ready.
sector rotation to transportation and financial stocks We saw on Friday the nasdaq declining while the Russell was pretty strong.
I think the narrative for the next 2-3 weeks will be that financial and transportations stocks outperform tech stocks .
We can see on the chart how the bottom has formed and that these stocks will now catch up.
I see continuation and strength on these stocks while the nasdaq takes a pause .
Lost in the corner, Anyone that talks and doesn't bring up this chart.
oo yea, im looking at this. no reason no reason.
IYT - Short1. Year - Outside Year to the downside, One bar Rev Strat down
2. Month - Inside month and down, Potential one bar Rev Strat down
3. Weekly - Shooter counters hammer weekly,
4. Full Time Frame Continuity to the downside.
Short: 144.78 x 148.89
Transportation Average & Small Cap Out-performanceInteresting relationship here
0.95 sixty week CC
IYT = 100% Industrials (obviosuly)
IWM = 16% Industrials
IYT = 45% Large cap, 45% Mid cap
IWM = 66% Small Cap, 15% Micro cap
IYT - Transports look bearishTRansports look bearish as people cancel trips due to the virus. I don;t think we've seen the bottom yet...
Remember the Dow theory.....
IYT TrumpedEvery time Pumpkin face gets on Twitter, he tanks the market. Expect the same thing to happen to transports as last time.
But first, I expect a bounce on Monday because the market is oversold.
Dow theory says $iyt $spyTransports never confirmed new high and may go down and fill that vertical profile gap
DOW theoryOof this is tough. Larger Momentum divergence on the weekly chart! so its becoming more likely.
Should lead broader market down.
This could be viewed as a corrective pattern as well...
8% down then rally to all time highs?
IYT exposure Desired entry 180 flat.
This may start its upward trajectory shortly.. momentum building.
IYT TRansports Look WeakTransports look weak, FedEx is a big component of IYT so it may just be an earnings thing.... FedEx gets dumped pre-earnings because everyone anticipates crappy earnings. Looks like it could have another leg down with a reversal next week on earning. If FedEx surprises then we'll see a big rally.
Dumped most of my stocks this morning, was hoping for a bigger gap. No compelling reason to go long until tomorrow afternoon or later this week. There's probably an opportunity to do a 1 - 2 day short, AMZN has already rolled over.
$IYT is aiming the weekly 200SMAit is falling into the trend zone that the weekly 200SMA could be the bottom
