One could be tempted to say that apart from the initial spurt higher which closed our previous long positions at a profit of 41 points, stock bulls are struggling to go higher in the aftermath of the just-announced 0.5% Fed funds rate cut.

That would not be true however, and we're of the opinion that the short-term slow grind higher in stocks would continue later today as well. So as to take advantage of it and enter into a low-risk trade setup, we're reentering long positions in line with the below description:

Trading position (short-term; our opinion): long positions at market (100% position size) with stop-loss level at 3080 and the binding take-profit at 3140.

Such parameters give us a solid likelihood of this trade being also closed profitably later today.

Thank you.

Monica Kingsley
Stock Trading Strategist
Sunshine Profits - Effective Investments through Diligence and Care