December 1, 2015 - 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
Premium collected - $1.25
NCR Long Jan 16 $27 Call
Net Debit - $.80
X Long at $14
Premium collected - $.89
ASNA Long at $14.20
Total Premium collected - $.75
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As I mentioned yesterday, 2,093.80 is a strong resistance level for the S & P 500.? It just happened that yesterday's high was 2,092.81 or a mere one penny above the level identified yesterday.
In fact, in yesterday morning's update I said ... "Watch if the S & P can get through 2,093.80 this morning."
After moving down from that level, the S & P 500 closed at 2,080.41or about 5 points under the downside level, which is 2,085.98.
This become significant because if the S & P closed under 2,085.98 today, I would expect a move down to 2,062.50.
Short term there should be support at 2,078.10.
As for the VIX,? it closed up at 16.13.? 17.19 should still be a resistance level for the VIX.
Pre-open the S & P is up almost 8 points. If it opens above the 2,085 level, I would expect it to act as support, with an attempt to take out the 2,093 level.
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
17.19 should act as resistance for the VIX.
Watch how it reacts around 15.63.? If it holds, the markets should pull back.? If it breaks under it, expect the markets to move up.
S & P 500 Cash Index:?
Minor level - 2,101.62
Major level - 2,093.80 *
Minor level - 2,085.98 *
Minor level - 2,070.33
Major level - 2,062.50
Minor level - 2,054.68
Minor level - 2,039.12
Major level - 2,031.30
Support should be at 2,078.10 and 2,085.98.
2,093.80 still remains a key level for the S & P.
Nasd 100 (QQQ):?
Minor level - 116.41 *
Major level - 115.63
Minor level - 114.85
Minor level - 113.28 *
Major level - 112.50
Minor level - 111.72
Minor level - 110.16
Major level - 109.38
The objective should still be up to 115.63.
113.28 should act as support. If it fails there, 112.50 should be strong support.
TLT:?
Major level - 125
Minor level - 124.22
Minor level - 122.66
Major level - 121.88
Minor level - 121.09
Minor level - 119.53 *
Major level - 118.75
Minor level - 117.97
Minor level - 116.40
Major level - 115.62
The TLT closed at 121.45, and within 30 cents of the objective.
119.53 should act as support.
GLD:
Major level - 106.25
Minor level - 105.46
Minor level - 103.91
Major level - 103.13
Minor level - 102.34
Minor level - 100.78
Major level - 100.00
Major level - 96.88
The GLD bounced and closed at 101.92.
A close today above 100.78 and it should try and move back up to 103.13.
XLE:
Minor level - 75.78
Major level - 75.00
Minor level - 72.66
Major level - 71.88
Minor level - 69.53 *
Major level - 68.75
Minor level - 67.97 *
Minor level - 66.41
Major level - 65.63
Yesterday's high was within 7 cents of the 68.75 objective.
?
It will need two closes above 69.53 to move up to 71.88.
67.97 should act as support.
Apple:
Major levels for Apple are 125, 118.75, 112.50, 106.25, 100, and 93.75.
106 should be a major support level for Apple.?
Apple did bounce off the down gap I mentioned last week.
It is trading just under the 253 day average on the daily chart, which is 118.94.
Two closes under 117.19 and Apple should drop to 112.50.
If Apple cannot get through the 118.95 level, I would expect a pullback.
Watch list:
Bullish Stocks: NTES, EW, MNST, STZ, HD, TSO, NFLX, DY, SWK, DPS, QIHU, GIS, MPC, XLNX
Bearish Stocks: CBRL, CELG, CRI, AXP, DECK, CAR, RGLD, SHO, MOS, RRC
Be sure to check earnings release dates.