August 29, 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 IWM ?????????????????????
Long TQNT?????????????????????????????????????? 19.40????????? 18.40 Stop Close
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Today's Working Orders
Sell IWM? 115.00 Stop Close
Sell TQNT ?18.40 Stop Close
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Stocks...
SMH...put in an ORH day. Look for some upside follow through.
A close today over 51.17 will put in an ORH Month
WDAY...looks like it's going to try to put in an ORL week, however 85.20-84.77 is major support and a level to buy before you sell with a tight stop.
LNG...is always ripe for an upside romp into month end.
TSLA...looks good into month end. As long as this is above 259.40 close it has room for a move into the mid to high 270's.
Bonds ...
30 yr. Bonds...142.00 is the Sept tgt #. We missed it by two ticks.
Shoot me!
FYI - I will be writing and trading off the Sept. for the next two weeks.
The spread is currently around 1 1/2 points.
FX...
Euro...is trading short term oversold. Sell rallies not breaks.
132.80 is the low risk sell zone for the rest of the week.
USD/JPY...103.30 ( app 96.80-90 Futures) is the place to sell Yen.
Commodities...
OIL...95.00 is resistance. Look for price rejection here the first time up. This will also act as the upside closing pivot for an initial wiggle to 96.00 +- 10 cents.
Natgas...(V) October is front month. 3.95 is short term support. Price action below 3.89, traders should be defensive. A close below 3.86 could lead to a retest of 3.72.
The patten looks constructive. Buy before you sell in the high 3.80's with a tight stop.
Gold...1296-8 is resistance and the closing upside momentum #.
Sustaining above the 200 DMA @ 1287 and a close over 1300 will likely see me give this another go from the Long side.
The weekly chart does not break out until there are closes above 1317.
General Comments orValuable Insight
Grains are trying to bottom. A close above 38.65 will have us buying the JJG for a trade.
We bought Triquint on the close yesterday purely as a pattern breakout.
Initially, we're looking for close to 5% move which is a move to app. 20.50, where we will exit 1/2 the trade and let the rest ride.
Long term tgt's, provided the patten is not negated could be as high as 25.
If SMH holds it's opening range today and starts up, buy some with a tight stop.
There you have it. It will be a time frame trade with month end markings on very light volume.
Don't fight the flow!!
Sunday night into Monday will be an opening range trade using the monthly closes as your pivots.
I still think many are underweight Equities and the path of least resistance in light of the expected early positive flows into Equities the first of the month is up.
For Medium Term Outlook click here.
?For Glossary of terms and abbreviations click here.