May 29, 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 positions
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Today's Working Orders
No working orders
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Stocks...
PCLN...1276.75 is the monthly ORL #. A Friday close and sustained price action over this level on Monday would generate new upside targets.
TWTR...is trying to bottom. Those that wish to buy this should use a 32 stop on close. A pullback to 32.50 would be a low risk place to buy.
36.10-37.24 is the next resistance zone.
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Bonds...
30 yr. Bonds...I'm looking for a 139.28 print after which it will be no longer profitable from a risk/reward point of view to "buy before you sell"
140.15 is the target for this swing.
FX...
USD/JPY...101.38 ( app 98.64 Futures) is the 200 DMA. This is a cash # going back to the early 1970's. The spike last week stopped at the Futures 200 DMA which is a very different # (98.92 today)
EUR/JPY...is getting oversold on the daily time frame. 138.36 is the 200 DMA which will act as a pivot. Good above negative below.
138.12 is the weekly ORL#. Be wary of price action below this level today. It can be a Bear Trap.
AUD/USD...is attempting an ORH day with a close over 92.73.
A close over 93.10 is needed for upside momentum.
93.60 is Point & Figure resistance. Futures presently trade @ a 10 point discount to cash.
EUR/AUD...is leading the crosses. A close under 146 is needed for more downside.
NZD/USD...85.14 is the monthly ORL #. This will ramifications for it's Antipodean friend, AUD/NZD, which has plenty of room to rally.
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Commodities...
Brent...200 DMA support is 109.07
Crude...anything prints in to the low 102's is a buy before you sell area with a tight stop. last night's low was a good enough low to hold for another rally.
This is a prime candidate for an opening range trade today.
Copper...3.19 is resistance. Only a couple of closes over the 200 DMA
(3.22) would entice us to go long at these levels. This is a better "sell before you buy". Weekly sell stops are below 3.1075
General Comments orValuable Insight
The calendar is friendly to Risk assets going into Monday.
We're going from buy the breaks in the 30 yr. to cautiously selling the rallies @ the correct technical levels.
The technical models are still up and we expect the bonds to close strong into month end.
After a five month rally, the futures are encroaching on targets and technical areas that should not be easily penetrated on the first attempts.
Next weeks data releases can provide the impetus for a pause or turn in direction.
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.
For Medium Term Outlook click here.
For Glossary of terms and abbreviations click here.