July 29, 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 - $.70
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Today's Working Orders
No working orders.
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The market had a nice bounce yesterday after five consecutive lower closes.
At 2:00 EST today, there is the Fed announcement.
This type of event has the capacity to create excess volatility.
Will the Fed announce a definite rate hike?
That is the news that everyone is waiting for.
Earnings season continues with some large moves.
On today's webinar, I will share how to evaluate a potential move off earnings.
Here are the key levels for the markets.
Stocks...
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VIX: ?
Major level - 17.19
Minor level - 16.02
Major level - 15.63
Major level - 14.06
Minor level - 12.89
Major level - 12.50
The open yesterday under 15.63 was the clue the VIX would head down and the market would head up.
Also, the VIX hit a high of? 16.27, and moved back under 16.02.
16.02 was a resistance level.? 14.06 should be resistance today.
S & P 500 Cash Index: ?
Major level - 2,156.30
Minor level - 2,132.82
Major level - 2,125.00
Major level - 2,093.80
Minor level - 2,085.98
Minor level - 2,070.32
Major level - 2,062.50
The 2062.50 level was support, with the S & P 500 moving up to the next level, which is 2,093.80.
Nasd 100 (QQQ):? .
Major level - 115.63
Minor level - 113.28
Major level - 112.50
Minor level - 110.16
Major level - 109.38
Minor level - 107.03
Major level - 106.25
The QQQ remained above the 109.38 level and the objective should be back to 112.50.
TLT: ?
Major level - 125
Minor level - 122.66? *
Major level - 121.88
Minor level - 119.53? *
Major level - 118.75
Minor level - 117.96
Minor level - 116.41
Major level - 115.63
Two closes under 119.53 and the objective is 118.75.
The TLT closed at 121.15 yesterday.
Expect volatility today with the Fed announcement.
GLD:
Major level - 112.50
Major level - 109.38
Minor level - 107.03
Major level - 106.25
Minor level - 105.46 *
Major level - 103.13
Minor level - 102.34 *
Major level - 100
Two closes under 102.34 and the objective is 100.? Two closes above 105.45 and the objective is 106.25.
Price action has flatlined and the GLD is oversold.? A bounce would not be unexpected.
XLE:
Major level -? 75
Minor level - 74.21
Minor level - 72.66
Major level - 71.88
Minor level - 71.09 *
Major level - 68.75
Minor level - 67.96 *
Major level - 65.63
Sell any rallies at this point.
Strong bounce yesterday and it looks like the scenario I mentioned yesterday could happen.
That is, a rally back to the 75 level would set up a decent short opportunity.
Watch list:
Bullish Stocks:? AMZN, PANW, ULTA, EW, MNST, NKE, FB, UA, RAI, V, SBUX, GIS
Bearish Stocks: IBM, RL, CMI, DDS, CVX, Z, CAT, EOG, DECK, XLE, LNG, UA, MON
Be sure to check earnings release dates.
