March 4, 2016 - 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 Bill Davis, 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
GOGO? Long at $19.93
Total Premium collected - $1.95
X Long at $14
Total Premium collected - $.89
ASNA Long at $14.20
Total Premium collected - $.75
ETE Long $14.05
Total Premium collected - $1.05
P Long $13.38
Total Premium collected? - $.35
DUST Long $4.50
Short March 4th - $4.50 Call @ $.40
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The S & P 500 is now within 7 points of the major 2,000 objective. It is inching up ever so slowing to the level.
Will it get derailed with the Non Farm Payroll today?
I don't know, but the VIX continues to tell us that most likely 2,000 will get hit.
The VIX broke under 17.19 yesterday and continued down the majority of the day, closing at 16.70.
Higher levels in the VIX should continue to act as resistance, with a downside objective to 12.50.
On another note, I closed out the Buybacks for the month of February.? The report should be posted in a few days.
I did want to mention that there were just over $84 Billion dollars committed to buybacks for the month.
This is after a relatively modest $24 Billion in January.
Should the buyback activity level remain strong, this will also help to fuel this market higher.
Here are the key levels for the markets.
?
VIX:
Major level - 25.00
Minor level - 23.44
Minor level - 20.31
Major level - 18.75 *
Minor level - 17.19 *
Minor level - 14.06
Major level - 12.50
18.75 should be resistance at this point.? 15.63 should be a level that will offer support.
A break under 15.63 and the VIX should head down to the objective of 12.50, but there could be a pause at this level.
S & P 500 Cash Index:?
Minor level - 2,015.62 *
Major level - 2,000.00
Minor level - 1,984.38 *
Minor level - 1,953.12
Major level - 1,937.50
Minor level - 1,921.88
Minor level - 1,890.62
Major level - 1,875.00
Minor level - 1,859.38
Minor level - 1,828.12
Major level - 1,812.50
The 2,000 level is within reach at this point.? Look for support at lower levels.
Same as yesterday.? Could experience excess volatility today with the Non Farm Payroll.
Nasd 100 (QQQ):?
Major level - 112.50
Minor level - 111.71
Minor level - 107.03 *
Major level - 106.25
Minor level - 105.46 *
Minor level - 103.91
Major level - 103.13
Minor level - 102.35
Minor level - 100.78
Major level - 100.00
The QQQ is still very close to taking out the 106.25 level.
Two closes above 107.03 and the objective becomes 112.50.? And support should be at 105.46 and 104.?
TLT:?
Major level - 134.38
Minor level - 133.60
Minor level - 132.03
Major level - 131.25
Minor level - 130.46
Minor level - 128.91*
Major level - 128.13
Major level - 125.00
A close today above 128.91 and the objective becomes 131.25.
128.13 should be major support.
GLD:
Major level - 125.00
Major level - 121.88 *
Minor level - 121.10
Minor level - 119.53 *
Major level - 118.75
Minor level - 117.96
Minor level - 116.41
Major level - 115.63
121.88 should be the objective at this point.? If it cannot get through 121.88, I would expect a fairly sharp and quick pullback.
XLE:
Major level - 62.50
Minor level - 61.72
Minor level - 60.16 *
Major level - 59.38 *
Minor level - 58.60
Minor level - 57.03
Major level - 56.25
Minor level - 54.69
A close today above 60.16 and the objective becomes 62.50.
Lower levels should act as support.
Apple:
Major levels for Apple are 112.50, 106.25, 100, 93.75, and 87.50.
101.56 is the confirming level up to 106.25.? Two closes above 101.56 and the 106 level is the objective.
Overbought on the daily chart at the moment.
Watch list:
Bullish Stocks: PNRA, BCR, TWC, TFX, SAFM, FSLR, TJX, EW, COR, GIS, OTEX, CAG
Bearish Stocks: VRX, ALNY, AIG, WDC, RH, ABCO, SCTY, KKR, ARLP, AEL, ALJ
Be sure to check earnings release dates.
