For reasons to be presented in tomorrow's regular Stock Trading Alert, it appears that the sharp correction of recent days is closer to its end that its beginning (in terms of prices). That doesn't make though another push lower impossible - quite to the contrary in today's light volume, holiday trading.

That makes it justified to be prepared for such a scenario, and to take advantage of a temporary selloff that's likely to get resolved with another S&P 500 upswing once the correction runs its course in time. The risks still remain skewed to the upside rather than to the downside - please see below.

Trading position (short-term; futures; our opinion): long positions (100% position size) (entered via a buy limit order at 3380) with stop-loss at 3320 and initial upside target at 3450 are justified from the risk-reward perspective.

Thank you.

Monica Kingsley
Stock Trading Strategist
Sunshine Profits: Analysis. Care. Profits.