January 28, 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 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 DB ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 30.24??????????? 29 Close???
LONG?GILD ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 105.14??????? 103.50 Close
LONG ZIOP?????????????????????????? ? ? ? ?? 7.99?
LONG ?116 1/30 AAPL Call ? ? ??????? 1.36
LONG? QQQ?????????????????????????? ? ? ? ? 102.22
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Today's Working Orders
SELL another 30% piece of the original ZIOP position @ 9.95 GTC.
SELL? 7 APPL? 116 Calls? expiring 1/30/15 when AAPL stock trades 116.?
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Stocks...
UTX...had an impressive rally off yesterday's low. Look for this to remain firm into month end.
EXAS...as long as this is above 26.44 it has much higher targets, into the mid 30's.
?REGN...408 is support and the downside momentum #.?
Spu's...2044 is 50 DMA resistance, last night's high.
NASD 100...4233 is 50 DMA resistance, last night's high.
Bonds ...
FX...
EUR/CHF...103 is cropping up as an important momentum level in the cross. Since the currency was pegged for so long the market data can be distorted. Use it for general market tone only, not a hard #.
USD/JPY...is caught between 117.20 and 119. (85.30 & 84.10 Futures). Wait to play the breakout.
AUD/USD...first point & figure resistance is @ 80.30-40. Price action below 79.10 turns the P&F chart down again.
GBP/JPY...needs sustained price action and a good close above 179.25 for continued strength.
Commodities...
OIL...price action under 44 will need to another swing lower. Point & Figure resistance is 46.25.
NATGAS...(G) FEB futures expire today. 3.06 is momentum resistance. Do not fade a break out to the downside of the Pit session opening range today.
General Comments or Valuable Insight
AAPL is showing 116.70 ish in pre-market. I'm selling 7 calls on the opening as long as it's above 116, for this is when the options will be really pumped up.
I'll leave the other 3 on to see where they go. Longer term wave counts show another 20 dollars over the previous all time weekly closing high of 118.93.
DB...I need this bank to bottom early and rally. Expect a trade alert to exit if it doesn't.
The Russell & Midcap have been outperforming on this break since those names have little FX exposure.
I've written about the Interest rate differential between country s in the 1st qtr 2015 Medium Term Outlook and the effect it can have on Equities and currencies.
This will be front and center as traders digest the Fed Minutes after 1 CDT.
FYI...I will be out of office traveling for business tomorrow.
I will try to post a few comments early Friday.
There will be no research tomorrow?.? ?
There will be no opening bell Thursday or Friday.
For Medium Term Outlook click here.
For Glossary of terms and abbreviations click here.