January 29, 2016 - 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
Total Premium collected - $1.95
X Long at $14
Total Premium collected - $.89
ASNA Long at $14.20
Total Premium collected - $.75
ETE Long $14.05
Total Premium collected - $1.05
P Long $13.38
Short Jan $14 Call - $.35
KMI Long $14.62
Short January 29 Call - $.42
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Today is the last trading day of the first month of 2016.
And it is going to end with a bearish close on the monthly charts.
Before the open, the S & P 500 is down about 150 points for the month.
Having said that, the S & P 500 did manage to close back above the lower band on the daily chart.
And pre open, the markets are set to bounce.
We have one open position that expires today.
That is the short $15 call on KMI.
KMI closed yesterday above the $15 level, so at this point it appears that the calls will be assigned.
You will receive a separate email if an adjustment will be made.
Here are the key levels for the markets.
VIX:
Major level - 37.50
Minor level - 32.81
Major level - 31.25
Minor level - 29.68
Minor level - 26.56
Major level - 25.00
Minor level - 23.44 *
Minor level - 20.31
Major level - 18.75
Minor level - 17.19
The 18.75 level should be restested.
Look for higher levels to act as resistance.
S & P 500 Cash Index:
Major level - 2,000.00
Major level - 1,937.50
Minor level - 1,921.88
Minor level - 1,890.62 *
Major level - 1,875.00
Minor level - 1,859.38
Minor level - 1,828.12
Major level - 1,812.50
Minor level - 1,796.88
Minor level - 1,765.62
A close today above the 1,890.62 level and the S & P should move up to 1,937.
The S & P closed back above the lower band on the daily.
Lower levels should act as support.
Nasd 100 (QQQ):
Major level - 106.25
Minor level - 105.47
Minor level - 103.91
Major level - 103.13 *
Minor level - 102.35
Minor level - 100.78 *
Major level - 100.00
Minor level - 99.21
Minor level - 97.66
Major level - 96.88
The QQQ hit a low of 100.26 yesterday before closing at 102.
Objective should be to 103.
Look for lower levels to act as support.
TLT:
Major level - 128.13
Minor level - 127.34
Minor level - 125.78 *
Major level - 125.00
Minor level - 124.22
Minor level - 122.66
Major level - 121.88
Minor level - 121.09
Look for lower levels to act as support.
The 128 level remains the active objective.
Nothing different today.
GLD:
Major level - 109.38
Minor level - 107.03
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
106 level should be support. Look for lower levels to act as support.
XLE:
Major level - 59.38
Minor level - 58.60
Minor level - 57.03
Major level - 56.25
Minor level - 54.69
Minor level - 51.56
Major level - 50.00
Minor level - 43.75
Two closes above 57.03 and the objective becomes 59. 59 is a key level. If the XLE can hit 59 it is quite
possible the long term downtrend could be over.
Apple:
Major levels for Apple are 112.50, 106.25, 100, 93.75, and 87.50.
Apple had one close under 93.75 before bouncing yesterday and closing above it.
Still under the lower band on the daily.
Very oversold at the moment and a bounce would be expected.
Watch list:
Bullish Stocks: FRT, STZ, REG, ATO, WCN, BXLT
Bearish Stocks: TSLA, PANW, VRTX, COL, PII, XEC, IBM, MLM, EXP, HOG, LUV, SEE
Be sure to check earnings release dates.
