Dream BIG!

Good morning folks, 
Yesterday was a fantastic day and it almost played out exactly as I wanted it too. Volatility continued to be the place where there were some strong actionable trading opportunities. We had a high volume selloff combined with a solid reversal in the markets. The IBB and the IWM were particularly impressive. We didn't get the complete capitulation spike in volatility that I was looking for so there is still reason to be cautious that the selling may not be over. 

I am happy to see the markets struggling once again this morning and it would be nice to see a move similar to yesterdays with the only difference being that by the end of the day, all the indexes close solidly in the green. 

In my opinion, Oil remains the key. We need it to stabilize and today's inventory report could be a good test. If it is a bearish report and oil can maintain or even close out the day in the green it could be an indication that we have discovered a temporary bottom. 

If we do get a nice snap back in the markets, I will be making moves that reflect my position that we have broken a long term major trend and we could be heading towards something more significant in the medium to long term. 

Short term swings and building cash in the long term portfolio are actions I plan on taking if This market remains guilty till proven innocent and there are a tremendous amount of conditions that would have to change to alter my view. 


Today's Economic Calendar

European Central Bank's monthly monetary policy meeting. The policy statement is set for 7.45 Eastern Time followed by a news conference with ECB President Mario Draghi at  8:30 Eastern (CNBC) 

8:30 Initial Jobless Claims
8:30 Philly Fed Business Outlook
9:45 Bloomberg Consumer Comfort Index
10:30 EIA Natural Gas Inventory
11:00 EIA Petroleum Inventories
4:30 Money Supply

Focus watch list for scalp trading  
UVXY XIV DWTI UWTI UUP GLD GDX GDXJ LABU 

FEYE ZFGN 


I did take a swing in TROV off the watch list yesterday with a 3 entry, I am looking for 3.50 target to scale with a potential 4 test for the balance.