Trading Plan for Monday, April 29th, 2024

Trading Plan for Monday, April 29th, 2024

Market Sentiment: Bullish, following a multi-day rally. However, proceed with caution as a period of price discovery and more complex action is likely after the strong movement.

Key Supports

• Immediate Supports: 5127 (major), 5117, 5102 (major), 5089 (major), 5082

• Major Supports: 5068-72 (major), 5043 (major), 5034 (major)

Key Resistances

• Near-term Resistance: 5150 (major), 5168-5171 (major), 5185 (major)

• Major Resistances: 5206-5208 (major), 5230, 5245 (major)

Trading Strategy

• Consolidation Anticipated: Expect a period of consolidation and complex price action after the recent surge. Overtrading can lead to losses.

• Long Opportunities: Look for failed breakdowns at 5127 or 5102 as potential long entry points. Prioritize bids within the current range for a cautious approach.

• Short Opportunities: Target the 5185 level (resistance of the downtrend channel) for possible short positions. Consider level-to-level profit-taking within the range.

• Risk Management: Maintain disciplined risk management in this potentially volatile environment.

Bull Case

• Holding Support: Defending the 5127 or 5102 major supports is crucial for bulls to maintain control.

• Reclaiming Resistances: Bulls need to push above the 5150/5168-71 zones for a potential run to the next major target, 5185.

• Adding on Strength: In an ultra-bull case, look for bull flagging above 5127 to add exposure in anticipation of an upward move.

Bear Case

• Breakdown Signals: A convincing break below 5102 could trigger a deeper retracement. True bear case resumes with a break below 5033. As always, be wary of traps – look for a bounce/failed breakdown first, then consider shorting with level-to-level profit-taking.

News: Top Stories for April 29th, 2024

Stock Market Updates

• Analysis of the market's strong momentum and potential for a continuation move.

• Impacts of tech earnings and Federal Reserve policy.

Global Market News

• Market trends across global indices and sectors.

Economic Environment

• Focus on key economic indicators, interest rate outlook, and their impact on the markets.

Additional Market Insights and News

• Corporate earnings updates and their implications for individual stocks and sectors

• Market analysis and commentary from reputable sources.

Reminder: The markets may enter a consolidation period after the recent rally. Prioritize risk management and adapt your trading strategy accordingly.