February 25, 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
No current holdings
Orders are "stop on close" unless stated otherwise
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Today's Working Orders
No working orders
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Stocks...
Spu/Bonds & Spu's...did not put in an ORH pattern.
Spu's... need over 1847 for higher, or 1836-37 for a push lower.
Nasd 100...(ENQH4) all session put in an ORH pattern yesterday, however the NYSE ( Chicago Pit session) did not.
Price action and under 3655 and a close under 3649 is needed to negate the all session Nasdaq pattern and put the market on the defensive.
It's still a buy the break mode until proven wrong.
Nasd is leading with the Spu's unchanged on the year and the Dow down.
BHP & EWA are attempting ORH Months.
ASX 200 Futures..(APH4) needs to hold 5330 on pullbacks for this pattern to materialize.
Nikkei...15,230 is resistance with closes needed back over 15,500 for higher.
Bonds...
FX...
EUR/USD... 137.75-90 is resistance and the upside closing pivot.
USD/JPY...103.00 (97.10 Futures) is support and the qtrly downside pivot.
Commodities...
OIL...103 is resistance. 103.45 is the upside pivot where the current buy stops are.
Oil needs under 101.50 to break under 100.
Natgas...needs new weakness under 5.20-22 to start another leg down.
The weekly sell stops are under 5.37 (the weekly ORL#).
UNG...shows a slightly different pattern with a double top yesterday @ 28.10 ish.
Platinum...1427.80 is the 200 day. This level should act as a good risk barometer. Above=Risk On
Coffee...there are a lot of gaps in a very overbought chart. 18000 level is multi year fib resistance, with many other indicators identifying this as a zone to take a rest.
General Comments orValuable Insight
The talking heads were bloviating about the Verizon & Russell re weight.
The whole board is trading off names with a Feb 28 options expiration.
Hedge Funds and traders light on Risk assets have been buying these calls up for pennies to get leverage for Long exposure going into Month end.
SSO, GOOG,FB,DIS, NFLX,GS,COF,REGN,UNH,LNG,GLD, SLV,GDXJ,WYNN,OIH, are but a few in this category.
Many of these names are attempting ORH months.
I can't begin to name them all.
Just know that if you're going to trade single instruments, pick ones with a Friday options expiration for this is where the opportunity lies.
I bit the bullet ( Puked ) the USO puts mainly due to time decay and a risk on board.? The futures have been honoring the technical levels and thus, a more rewarding endeavor.
My thesis hasn't changed, I just picked the wrong vehicle to use for my purposes.
The underlying futures or cash always lead and the ETF's follow.
Opening Range Time Frame Trading again today.
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Short Term View...
Keep trading to make money. The opportunity will be in individual names.
Individual stocks look to be an easier read based off their own technical s.
We are positive Equities.
Below is a link to our medium term view and qtrly technical levels. Read it and print it out!?Shellac it onto your desk for reference.
?January, 2014 MediumTerm Outlook-1st-qtr-2014/
For Glossary of terms and abbreviations click here.