#1 FREE Swing Trading Strategy and Stock Picks for Day Traders

Good morning. The market remains under pressure this morning following yesterday's low volume sell off.

In terms of economic data, the July PPI came in hotter than expected while July housing starts fell 11% to the lowest in 17 years. In the early going, commodities also remain under sell pressure.

Along with the data, we also have some negative predictions by the former chief economist at the International Monetary Fund and a bearish research report from Merrill Lynch which is making the rounds on Wall Street trading desks.

Premarket gainers: XFML, WCG, ANTP, UAUA, SWKS, GSS, CC, & ARST.

Premarket losers: CNTF, ABMD, SOL, FMD, PDO, AU, WPI, DHI, SPLS, ABMD, WYNN, ERIC, AIB, AIG, LVS, HAS, BCS, & MGM.

Much like last week, I remain fixated on the 1300 level in the S&P along with its 50 day moving average at 1286. The bulls need to circle the wagons soon or we risk drifting back to the 1250 area amid the longer-term dominant trend channel:

It's always tough to trade in the middle of dominant trend channels like we find ourselves in at the moment. Usually, however, there will be a significant break one way or the other and we must adjust our strategy quickly to profit from that move.

Have a terrific Tuesday!