April 9, 2020 - MDT Pro Tips A.M.

GOGO Long at $19.93
Total Premium Collected $1.95

ASNA Long at $14.20
Total Premium Collected $0.75

DUST Long $4.50
Total Premium Collected $0.70

RRC Long at $11.85
Total Premium Collected $0.70

RRC Long at $9.20

RIG Long at $8.81
Premium Collected - $1.45

FEYE Long at $17.18
Total Premium Collected $1.06

ET Long at $11.78
Premium Collected $0.35

DBX Long at $19.70
Premium Collected $0.75

ET Long at $7.50
Premium Collected $0.60

AGNC Long at $13.19
Premium Collected $1.20
AGNC Short April 3rd - $13.50 call @ $0.80

MFA Long at $4.20
MFA Short April $5 Call @ $0.40

FCX Long at $6.93
Premium Collected $.68
FCX Short April 17th - $7.50 Call @ $0.33
................................................................................

The S & P 500 continued the rally after holding the lower band on the daily chart.

For the day, the S & P closed 90.57 points higher. The day closed out at 2,749.98.

And the day closed out at 89% of the range of the daily price bar. This suggests that the high should be violated.

Yesterday's high was 2,760.75. Watch to see if this level is violated. And support from yesterday's daily bar is in the 2,712 to 2,717 area.

The key for today will be to see if the S & P can clear 2,769. This level is just above yesterday's high and is the midband on the 60 minute chart.

So, essentially, the S & P has now rallied from the lower band to the midband on the 60 minute chart.

And the midband should be resistance, until it is violated.

The main concern for a bearish scenario at the moment is that the bullish percent index has now rallied to 83.20%.

This brings the bullish index to overbought territory.

Having said that, I do feel the S & P will ultimately test the midband on the daily chart, which is 2,988.

Pre open, the S & P is trading about 33 points lower. This projects to an open around 2,717, which is right around the projected support level from yesterday's daily price bar.

Watch to see if the S & P can hold this level. If it can't, the market may test the low, which was 2,663.30.

Here are the Key Levels for the Markets:

$VIX:

Minor level: 44.53
Major level: 43.75 <
Minor level: 42.97 **
Minor level: 41.40
Major level: 40.62
Minor level: 39.84
Minor level: 38.28
Major level: 37.50
Minor level: 36.72
Minor level: 35.16
Major level: 34.38
Minor level: 33.60
Minor level: 32.03

The VIX closed at 43.35. The VIX closed 3.35 points lower. The close was still below the upper band, which now reads 55.17.

After trading well above the upper band, the VIX is now trading back inside the bands for a week.

A retest of the upper band is not out of the question due to the fact that the VIX had traded well above it.

But, at this point, it should be resistance.

Resistance should also be around 44.53. And support should be at 41.

S & P 500:

Minor level: 3,007.85
Major level: 2,968.80
Minor level: 2,929.75
Minor level: 2,851.65
Major level: 2,812.50
Minor level: 2,773.45
Minor level: 2,695.35 **
Major level: 2,656.30 <
Minor level: 2,617.25
Minor level: 2,539.06
Major level: 2,500.00
Minor level: 2,460.95
Minor level: 2,382.85
Major level: 2,304.75
Minor level: 2,226.65

The S & P closed at 2,749.98. Yesterday was the first close above the minor 2,695.35 level. This now suggests that this level should be support.

And a close today above 2,695 would suggest the S & P should move up to 2,812.50.

There is short term resistance at 2,768. Clearing this level would be very bullish. As I mentioned, this is the midband on the 60 minute chart.

Support should be around 2,710.

QQQ:

Minor level: 201.56
Major level: 200.00 <
Minor level: 198.44
Minor level: 195.31
Major level: 193.75
Minor level: 192.19
Minor level: 189.06
Major level: 187.50
Minor level: 185.94
Minor level: 182.81
Major level: 181.25

The QQQ closed at 200.57. The midband on the daily chart is 195.51, and should now be support.

Support should now be around 200. Watch the minor 198.44 level. This should be support.

IWM:

Major level: 175.00
Minor level: 173.44
Minor level: 170.31
Major level: 168.75
Minor level: 167.19
Minor level: 164.06
Major level: 162.50
Minor level: 160.94
Minor level: 157.81
Major level: 156.25
Minor level: 154.69
Minor level: 151.56 **
Major level: 150.00 <
Minor level: 148.44 **
Minor level: 145.31
Major level: 143.75

The IWM closed at 118.07. The IWM closed above the lower band on the daily chart, which is now 114.71.

This was the first close above the lower band in three weeks.

This brings the IWM out of overbought territory.

116 should offer technical support. And watch the lower band for support.

TLT:

Major level: 156.25
Minor level: 155.48
Minor level: 153.91
Major level: 153.13
Minor level: 152.35
Minor level: 150.78
Major level: 150.00
Minor level: 149.22
Minor level: 147.66
Major level: 146.88
Minor level: 146.10

The TLT closed at 165.09. The TLT closed under the upper band on the daily chart for the second time in about a week and one half. The upper band is now 166.76.

So, watch this level today. If it cannot clear this level today, I expect a pullback.

Resistance should be around 167. And support at 163.

GLD:

Major level: 159.38
Minor level: 158.60
Minor level: 157.03
Major level: 156.25 <
Minor level: 155.47 **
Minor level: 153.91
Major level: 153.13
Minor level: 152.35
Minor level: 150.78
Major level: 150.00
Minor level: 149.22
Minor level: 147.67
Major level: 146.89
Minor level: 146.11

The GLD closed at 154.65. A close today under 155.47 and the GLD should drop to 153.

The 155 area should now be resistance. And 151 should be support.

XLE:

Major level: 56.25
Minor level: 55.47
Minor level: 53.90
Major level: 53.12
Minor level: 52.34
Minor level: 50.78
Major level: 50.00
Minor level: 49.22
Minor level: 47.65
Major level: 46.88
Minor level: 46.09 **
Minor level: 44.53
Major level: 43.75

The XLE closed at 34.22. Like the IWM, the XLE finally closed above the lower band on the daily chart. The lower band is 31.93 and the XLe is now about 2.50 points above it.

This level should now be support.

The 33 area should now be technical support. And resistance is at 36.

AAPL:

Major level: 325.00
Minor level: 321.88
Minor level: 315.63
Major level: 312.50
Minor level: 309.38
Minor level: 303.13
Major level: 300.00
Minor level: 296.88 **
Minor level: 290.63
Major level: 287.50 <
Minor level: 284.38
Minor level: 278.13
Major level: 275.0 0
Minor level: 271.88

Apple closed at 266.07. Apple is still in an uptrend on its daily chart.

Technical support is at 255.

Apple is just under the midband on the 60 minute chart. This level is 269 and is resistance, until it is violated. It will need to clear this level to head higher.

WATCH LIST:

Bullish Stocks: TLT, REGN, WMT, TTWO, GILD, PDD, MRNA, OMI

Bearish Stocks: AZO, MELI, ORLY, ANTM, FLT, CTAS, ALGN, ECL, LH, WHR, WCN, DGX, DLTR, CRI, WPC, OMC