Headlines.

We all read them and they mess with our heads. It takes steadfast resolve to listen to the message of price action when everything else we read tries to trick us into doing the wrong thing.

The best way to keep ourselves level-headed when taking risks is to define that risk and trade small. There are few things more powerful than knowing with complete certainty the most I can lose, no matter what the market throws at me.

With this in mind, we're putting on a trade today in a stock that has the potential to be a real highflier if the markets stabilize and head higher following any Washington drama while limiting our risk in case we're early or wrong.

We've adjusted a position in the Paid-to-Play portfolio today:

The largest insider buy on today's list comes in a Form 4 filing by the executive chairman of Energy Transfer $ET, Kelcy Warren.

Warren revealed an additional purchase of 750,000 ET shares, worth over $9.5 million.

From the Desk of Kimmy Sokoloff

The indices are gapping lower, and I'm watching to see how $SPY handles its 21-day moving average at 413.10.

I mentioned in the live trading room yesterday that this market has been volatile, and until the debt ceiling gets resolved it could continue.

From the Desk of Kimmy Sokoloff

It was a nice morning and $SPY was trading in a one-point range.

But the clock struck noon and things slowed then rolled over.

From the Desk of Ian Culley @IanCulley

Here we go again… 

The USD/JPY is breaking out.

I can’t think of a stronger trend than the dollar-yen last year. It absolutely ripped to the point we were joking everything priced in yen looked good – even gold!

But it wasn’t the only market trending higher at the time. The US dollar and interest rates also rallied together.

Today’s USD/JPY strength raises a painful question for many investors…

Will interest rates and the US Dollar Index $DXY follow?

Before we delve into the broader implications of a USD/JPY rally, let’s outline the setup for those who trade forex markets.

Check out the dollar-yen reaching its highest level since November 2022, completing a six-month consolidation:

...

It's a bull market, in case you haven't heard.

As such, I'm on the hunt for alpha. I'm looking for stocks that might be off the radar, but can have outsized moves when the market runs.

Today's trade offers this potential in spades.

We've adjusted a position in the Paid-to-Play portfolio today:

The largest insider buy on today's list comes in a Form 4 filing by Dan Wilks, founder of ProFrac Holding Corp $ACDC.

Wilks revealed a purchase of 539,498 shares in ACDC, worth over $6 million.

From the Desk of Kimmy Sokoloff

The indices were pretty whippy yesterday.

I'd expect the same today until debt ceiling negotiations are completed.

The Technology Index made another new 52-week high on Monday.

This is becoming a habit.

Apple carries a huge weighting in that Index.

So as some people get distracted with how Apple's $2.75 Trillion market cap is now bigger than the entire Russell2000 Index, I'm more interested in how quickly Apple can get to $5 Trillion.

I think it can happen pretty soon.

Look at these massive moves in market cap that can happen in a relative short period of time.

From the Desk of Steve Strazza @Sstrazza

Welcome to our latest Minor Leaguers report.

We've had some great trades come out of this small-cap-focused column since we launched it back in 2020 and started rotating it with our flagship bottom-up scan, Under the Hood.

For the first year or so, we focused only on Russell 2000 stocks with a market cap between $1 and $2B.

That was fun, but we wanted to branch out a bit and allow some new stocks to find their way onto our list.

We expanded our universe to include some mid-caps.

To make the cut for our Minor Leaguers list, a company must have a market cap between $1 and $4B.

And it doesn't have to be a Russell component — it can be any US-listed equity. With participation expanding around the globe, we want all those ADRs in our universe.

The same price and liquidity filters are applied. Then, as always, we sort by proximity to...

From the Desk of Steve Strazza @sstrazza and Alfonso Depablos @Alfcharts

This is one of our favorite bottom-up scans: Follow the Flow.

In this note, we simply create a universe of stocks that experienced the most unusual options activity — either bullish or bearish, but not both.

We utilize options experts, both internally and through our partnership with The TradeXchange. Then, we dig through the level 2 details and do all the work upfront for our clients.

Our goal is to isolate only those options market splashes that represent levered and high-conviction, directional bets.

We also weed out hedging activity and ensure there are no offsetting trades that either neutralize or cap the risk on these unusual options trades.

What remains is a list of stocks that large financial institutions are putting big money behind.

And they’re doing so for one reason only: because they think...

We had a resting GTC order filled at our profit target in the Paid-to-Play portfolio today:

Week starting May 22, 2023 | Edition No. 12 

Our mission at The Buzz is simple: to identify and profit from the most-talked-about stocks on social media. 

Every week, we compile a list of stocks trending tickers that are experiencing a large increase in the investor interest. We use social media data from our partners at Likefolio. 

In each weekly report, we outline 1-3 actionable trades. We also take a closer look at a few other charts from our list. Some weeks will have more actionable setups than others, as we don’t want to force trades. 

With any bottoms-up scan, many of these stocks are at the mercy of the broader market. We will always consider the current market environment when identifying our long/short ideas. 

None of these setups are guaranteed to work. Profitable trading requires you to take small losses and let your winners run. If price closes below our risk levels, we want to take the small loss and move on, to preserve capital for future opportunities. 

As always, feel free to reach out to me at Patrick@thechartreport.com...

The bears have found a new home: gold mining stocks.

Silver’s breakdown earlier this month raised the caution flag for the entire precious metals space. 

Less than two weeks later, gold futures and mining stocks are falling under the wrath of increased selling pressure. Precious metals bears are winning the battle as support levels fall to the wayside. 

Meanwhile, the bulls are reluctant to leave without a fight…

From the Desk of Kimmy Sokoloff

The market was all over the place today.

Look, we're waiting for the debt ceiling negotiations to end before the market makes its next move.

That's the deal... or no deal.

The bears have found a new home: gold mining stocks.

Silver’s breakdown earlier this month raised the caution flag for the entire precious metals space. 

Less than two weeks later, gold futures and mining stocks are falling under the wrath of increased selling pressure. Precious metals bears are winning the battle as support levels fall to the wayside. 

Meanwhile, the bulls are reluctant to leave without a fight…

Let’s review the recent action in mining stocks.

While I always prefer a price chart, I also like Grant’s moving average tables.

He measures the closing prices of all 30 components of the PHLX Gold and Silver Mining Index $XAU against (above or below) multiple moving averages, from five days at the far left of the table to 250 days at the far right.

This provides an excellent read on trends across multiple timeframes.

Here’s the table heading into the May 5 close:

A sea of green! Sellers hadn’t made their way to these mining names just yet.

Fast-forward a couple weeks, and the study presents a far different picture:

Red dominates the table across shorter time frames, displacing the...

We had a resting GTC order filled at our profit target in the Paid-to-Play portfolio today: