August 19, 2014 - 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
Long GBP/USD? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?? 166.75???????? 166.60 Stop Close
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Today's Working Orders
SELL 1/2 Long GBP/USD @ 167.45 GTC
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Stocks...
IWM...115.11 is resistance and the upside closing pivot.
XOM...98.11 is the 200 DMA. EXXON has been going sideways and holding it's 200 DMA while the Crude and Brent have been imploding for the past 12 trading days.
Of the majors this has the most constructive chart pattern.
COP...Conoco put in an ORL day, however it's getting short term oversold so this is one to look for a bounce with a rebound in Crude to trap the shorts.
Bonds...
30 Yr. Bonds...140.00 - a couple of ticks will be pivotal all day.
This level will run the next move in the 30 Yr. up or down.
FX...
AUD/USD...93.55 -71 is resistance and the closing upside pivot zone.
Futures are currently trading at a 6-8 tick discount to cash.
GBP/USD...have still not put in a reversal back to the upside on the Point & figure chart. 166.74 is today's 200 DMA.
EUR/GBP...has a double bottom @ 7982 which does not bode well for Pound strength.
Commodities...
Crude...The Sept contract expires tomorrow which is currently trading at a $1.45 premium to the October (V) contract which is now front month.
Since I only use continuation charts I will only give the (V) levels Thursday.
The Point & Figure is trying to turn up.
Sept and Oct look different. The Oct. (V) contract could rally to 95.00 while the Sept contract needs over 97.50 for higher.
GDXJ...remains firm above 41.60.
GDX...needs sustained price action above 27.50 for escape velocity.
General Comments orValuable Insight
I sold half the British Pound position yesterday because it's been taking forever to get some price separation from the 200 DMA.
You'll note I did this after the Euro tanked when Dollar buyers appeared across the board.
Those Dollars were then used to purchase U.S. Equities.
U.K. Inflation #'s pounded the Pound last night. We're not going to sit with the remainder of the position unless we see some early price recovery.
For Medium Term Outlook click here.
?For Glossary of terms and abbreviations click here.