Market Update 12/28-12/31: Great Positioning Opportunity

Last week was a very choppy week on low volume- I expect much of the same this week. This week may not be all that exciting but it will certainly be important. Many key names are being extra stubborn before making their major moves, giving a great chance to get positioned nicely. I will be using this week to position myself for the move I am expecting and take some quick trades along the way.

Two things to note before diving into the set ups: First, if you haven’t seen it yet, feel free to check out my new Elliott Wave Guide. The guide is completely free and will hopefully provide some context to these newsletters. Secondly, I will be starting a $5k to $25k challenge in the Trading Group on 1/4/2021. This will hopefully be a great demonstration of how to grow an account while maintaining proper risk management strategies. If you’re interested in learning more, feel free to reach out to me via twitter.

And now, this week’s game plan:

$ES_F 2H

$ES_F has been consolidating in this 3650-3700 range for the last week and I expect more of the same this week. This is another short week so I am not eager to rush into any trades. I can see a possible retest of the lower trend line to complete sub-wave (2) around 3665-3670 before a bounce higher into the 3700’s. Ideally, we see some consolidation in the 3710-3720 area to set up for a nice breakout to start the new year.


$AMZN has been one of the most stubborn names over the past month. It is currently working on an inside month and inside quarter. I expect one final shakeout down to around 3114 before a $TSLA-like move to the upside. If 3114-3129 trades I will be firing at this trade heavily.


I have been waiting on this down move for a couple weeks now, and it decided to come all at once. $BABA is right inside my buy zone now and I will be adding back my position on Monday.


$EBAY closed right on the .786 this week, I will be looking for a sub 1,2 move for entry this week.

$FB 2H

My previous count was invalidated so I am switching over to this alt, which seems to be the consensus among the community. I am cautiously bullish heading into the new year, but it needs to hold $264.46. If it can hold the low I will re-enter long.


$MSFT finally had a nice move above $217, and looks ready for more after a small pullback. I will be watching the $220 level closely


This count has been tracking nicely so far. I will be looking for a trade on this name around $510.


This is another name that has been stubborn lately. A nice trade may be found in this zone, but I will be buying a little extra time on my contracts just incase $RKT keeps up its stubborn ways.


$SPCE ended up being a nice play last week, despite all the comments saying it was certainly heading lower. I am very bullish for $SPCE in the next 3-6 months and I expect it to hit $48-$50 in that time frame (yes, 100% gain in 6 months).

Have a great week everyone!

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