March 10, 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
Total Premium collected? - $.35
DUST Long $4.50
Total Premium collected - $.45
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The markets are up across the board pre open this morning, based on news out of Europe of an interest rate cut.
As I write this, it appears that the S & P 500 should open to the upside almost 17 points.
Yesterday, the S & P 500 closed at 1,989.26, or about 5 points above the 1,984 level. The fact that the market closed above the downside confirming level, negated the bearish scenario for the market.
The next level to the upside is 2,015.62. If the S & P can close above that level for two days, the upside objective becomes 2,062.50.
As for the VIX, it hit a high of 19.11, before selling off and closing at 18.34. The 18.75 level held as resistance again.
Here are the key levels for the markets.
VIX:
Major level - 25.00
Minor level - 23.44
Minor level - 21.88
Minor level - 20.31
Major level - 18.75
Minor level - 17.19 *
Minor level - 14.06
Major level - 12.50
18.75 and 17.19 should act as resistance. 15.63 should be a tough level to get through on the first attempt. However, if the VIX does break under 15.63, look for lower lows.
Two closes under 17.19 and the objective is to 12.50.
S & P 500 Cash Index:
Major level - 2,062.50
Minor level - 2,046.88
Minor level - 2,015.62 *
Major level - 2,000.00
Minor level - 1,984.38 *
Minor level - 1,953.12
Major level - 1,937.50
Minor level - 1,921.88
Minor level - 1,890.62
Major level - 1,875.00
Look for 2,000 to act as support, if the S & P can get above that level. 2,007.80 is a short term support level. Watch how the S & P trades around that level.
As the VIX continues to drop, expect the S & P to head higher.
Nasd 100 (QQQ):
Major level - 112.50
Minor level - 111.71
Minor level - 107.03 *
Major level - 106.25
Minor level - 105.46 *
Minor level - 103.91
Major level - 103.13 *
Minor level - 102.35
Minor level - 100.78
Major level - 100.00
105.46 should act as support. Objective should be to 106.25.
Lower levels should act as support.
TLT:
Major level - 134.38
Minor level - 133.60
Minor level - 132.03
Major level - 131.25
Minor level - 130.46
Minor level - 128.91*
Major level - 128.13
Major level - 125.00
Objective should be to 131.25. Look for lower levels to act as support.
GLD:
Major level - 125.00
Major level - 121.88 *
Minor level - 121.10
Minor level - 119.53 *
Major level - 118.75 *
Minor level - 117.96
Minor level - 116.41
Major level - 115.63
The GLD stopped at the 118.75 support level yesterday. If the GLD closes above 119.53 today, it should try and test 121.88.
A close under 119.53 and the GLD should drop under 118.75.
XLE:
Major level - 65.63
Minor level - 64.85
Minor level - 63.28 *
Major level - 62.50
Minor level - 61.72 *
Minor level - 60.16
Major level - 59.38
A close today above 60.16 and the XLE should try and test 62.50.
Lower levels should act as support.
Apple:
Major levels for Apple are 112.50, 106.25, 100, 93.75, and 87.50.
101.56 is the confirming level for a move up to 106.25. A close today above 101.56 and the objective should be to 106.25.
Look for support at 100.
Watch list:
Bullish Stocks: SPG, BCR, KMB, TFX, NEE, SAFM, XOM, ETR, D, PNW, MO, RAI, VZ, FAST, CAG
Bearish Stocks: AMGN, FL, EQT, NLNK, BCOR, VSLR, TOUR, PMC
Be sure to check earnings release dates.
