July 12, 2013 - MDT Pro Tips A.M.

While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Jim Parker, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.

No Positions...

Stocks..

Everybody is all in long. Look for names that have not had big moves with
RSI in the High 70's or 80's.

Bonds...

30 yr. is right at resistance @ 135.00. The level has not changed.
Bunds...143.75 is closing resistance

FX...

EUR/AUD...is attempting an ORH week with a close over 143.97.
This pattern is similar to the EUR/USD when it closed Tuesday below 128.09 with an?ORL. Don't trust it!?

Commodities...
?
Oil...104.21-12 is minor support with stops below. We'd look for a retest of 102.60?if this area is violated. This turns positive over 105.25 on the Point & Figure charts.

July Grains expire today at noon CDT

General Comments or Valuable Insight

Metals are in profit taking mode.

I tried the Long side of the Bonds yesterday and was washed out.

135 will be a pivotal level in the 30 for a few points. Buying strength into it will be unwise.

Short term traders can sell rallies up to it, however the more times you try it the less likely you are to get rewarded.

Short Term View...

It will be a short term trade today. Use the Chicago openings as your guide.
The boys are back in town and Wrigley calls for a much needed head break.

Oil will prove to be the better place to day trade today.

For Glossary of terms and abbreviations click here.

Legal Disclaimer

There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.