December 5, 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.
Current Positions
DXJ????? Long???????????????????? 50 ? ? ?????? 49 ?????????????? 53
APPL??? Long?? ? ? ? ? ? ? ??? 520.70?????? 518?????????????? 600
TBT??? ? Long??????????????????? 77.42??????? 76.80
......................................................................................................................
Today's Working Orders
Sell TBT @ 76.80 stop GTC
Sell AAPL @?"559 stop OCO 581?GTC? 1/2 remaining position
Sell AAPL @ 518 stop GTC? 1/2 remaining position
OCO - One Cancels the Other
........................................................................................................................
Stocks...
AAPL...582-584 should prove sticky the first time up. All the macro buy stops are just over 600.
We will be selling 50% of our remaining position at this level!!!
?
Bonds...
Bunds...held daily,weekly & monthly support yesterday on the lows.
A small bounce from yesterday's lows should not be unexpected with the ECB & Molto Mario coming on deck this A.M.
FX...
GBP/JPY...166.40 is daily support and the downside pivot.
163.90-164.10 is the lowest risk level to get this cross back on from the long side.
GBP/USD...look for Sterling to hold an initial break just above last years close of 162.50.
EUR/JPY...weekly sell stops are @ 136.99 ( the weekly ORL#). This matches up with mvg avg & Fib support @ 136.70.
USD/JPY...101.18 (98.80 Futures) is first Yen Resistance. Between here and 100.50 (99.50 Futures) is the area to look to sell the Yen again.
?
Commodities...
OIL...I have 2 levels for price rejection. 97.80 which is basically last night's high and the 200 day @ 98.57.
Right now it's hanging just above the 50 day mvg avg. This means it needs to get back under 97.30 off of any new high for a sell off.
I canceled my order to sell yesterday because I did not get the the price action (wiggle) in the order I wanted.
I wanted to see it rally higher first..fill me and then break.
General Comments orValuable Insight
With the ECB & BOE Central Banks on deck early, I covered the crosses that seem most relevant.
Yen Bears would be better served to get trade location via one of the crosses than to just pick an outright Dollar level. You'll have less volatility.
EUR/JPY & GBP/JPY seem a less risky way to short the Yen. You can try it at the support levels with 30 pip stops.
Short Term View...
Keep trading to make money. The opportunity will be in individual names.
Less is more this time of year. Be patient, if you miss something it's much better than taking it in the shorts!
Individual stocks look to be an easier read based off their own technical s. The Equity Indices seem stretched at these levels.
Go with the flow. Use the 9/30/13 ( September 30th) closes as your macro pivots. Trade the opening ranges and early time frames.
Your short term pivots are Friday's closes unless stated.
Just ask yourself..is it trading higher or lower on the month?
For Glossary of terms and abbreviations click here.