November 17, 2016 - Pro Tips A.M.
MDT AlertWhile 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.
GOGO? Long at $19.93
Total Premium Collected? $1.95
ASNA Long at $14.20
Total Premium Collected $.75
DUST Long $4.50
Total Premium Collected? $.70
FCX Long $12.45
Total Premium Collected? $.24
DYN Long at $12.55
Premium Collected $.48
CERN Long Jan $50 Call - $1.65
CERN Short Jan $55 Call ? ($.40)
FEYE Long at $13.65
FEYE Short Nov 25th - $14 Call ? ($.28)
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The S & P 500 contracted yesterday and had a range of only 7.02 points.? It was also an inside day, with a lower high and higher low.
The average true range for the S & P is close to 20 points, so the range was less than half the average.? Couple that with an inside day and we should see a range expansion.
For short term trading you want to watch yesterday?s high and low, which were 2,179.22 and 2,172.20, respectively.
Typically, the next minor move will progress in the direction of the violation of the high or the low.
For the past few days, I have mentioned the minor 2,172.88 level as a support level. And once again, that was the case for yesterday.? The low for the day was 2,172.20 or within one point of the support level.
From a technical standpoint, the 60 minute chart did cross into an uptrend yesterday. The 200 ema and the mid band are around 2,144, so that level should offer support if the market does pullback.
With a bullish crossover on the short term 60 minute chart and the fact that the 30 minute chart is in an uptrend, bias is still to the upside, with an objective to 2,187.50.
Continue to monitor the levels for entry points.
Here are the Key Levels for the Markets:
$VIX:
Major level ? 21.88
Minor level ? 21.10
Minor level ? 19.53
Major level - 18.75 *
Minor level - 17.96
Minor level - 16.41
Major level - 15.63
Minor level - 14.85
Minor level - 13.28
Major level - 12.50
The VIX did get above the 14.0 level yesterday, but closed under it.? Expect it to offer resistance.? 12.50 should be support.
Minor support is also at 13.28.
$SPX:
Major level - 2,250.00
Minor level - 2,234.38
Minor level - 2,203.12
Major level - 2,187.50 *
Minor level - 2,171.88 *
Minor level - 2,140.62 *
Major level - 2,125.00
Minor level - 2,109.38
Minor level - 2,078.12
Major level - 2,062.50
The 2,172 level offered support yesterday.? For the market to head down, it will need to get under that level. ?Minor resistance is at 2,179.70, which was the high yesterday.
Similar to the 2,172 level, the S & P 500 will need to get above 2,179.70 to move higher.
Objective still remains to 2,187.50.
QQQ:?
Major level - 121.88
Minor level - 121.10
Minor level - 119.53
Major level - 118.75
Minor level - 117.97
Minor level - 116.41 *
Major level - 115.63 *
Minor level - 114.84 *
Minor level - 113.28
Major level - 112.50
Yesterday was the first close above 116.41. A close today above 116.41 and the objective is to 118.75.
117.37 is the midband on the 60 minute chart. It should offer resistance.? If price can clear that level, expect the QQQ to move higher.
TLT:?
Major level - 131.25
Minor level ? 130.46
Minor level ? 128.91
Major level ? 128.13
Major level ? 125.00 *
Minor level ? 124.22
Minor level ? 122.66
Major level ? 121.88 *
Major level ? 118.75
?The TLT closed at 123.01 yesterday.? The objective should be back to 125, which should be resistance.? If 125 does not hold as resistance, I would expect that 128 would.
The TLT is working off an oversold condition.
GLD: ?
Major level ? 125.00
Minor level - 124.22
Minor level ? 122.66 *
Major level ? 121.88
Minor level ? 121.10
Minor level ? 119.53
Major level ? 118.75
Minor level ? 117.97
Minor level -? 116.41
Major level ? 115.63 *
The GLD closed above 116.41. A close today above that level and the GLD should move up to 118.
117.58 should be a minor resistance level.? 116.60 should be minor support.
XLE:
Major level - 75.00
Minor level - 74.22
Minor level - 72.66
Major level - 71.88 *
Minor level - 71.10
Minor level - 69.53 *
Major level - 68.75 *
Minor level - 67.96
Minor level - 66.41
Major level - 65.63
The XLE finally took out the 71.88, hitting a high of 72.14. However, it could not close above it.? It closed at 71.32.
70.70 should offer minor support and 72.66 is minor resistance.? The short term 30 minute chart is firmly in an uptrend and the
60 minute chart is close to moving into one.
FXY:
Major level: 90.63
Minor level: 90.24
Minor level: 89.45
Major level: 89.06 *
Minor level: 88.67
Minor level: 87.89 *
Major level: 87.50
Minor level: 87.11
The objective should be down to 87.? 88.48 should offer minor resistance.? Also, the FXY has dropped under the mid band on the daily chart, which is bearish.
The midband is 88.65, which should be strong resistance.
Short term, the FXY is oversold and a bounce would not be out of the question.
AAPL:
Major levels for Apple are 118.75, 115.63, 112.50, 106.25, 100, 93.75, and 87.50.
Apple has bounced off its oversold condition and closed at 109.90.
Short term resistance is at the 111 to 113 area. A pullback around there could be expected.
WATCH LIST:
Bullish Stocks: PCLN, MLM, GS, GD, BA, CMI, ACN, CVX, JPM, MET
Bearish Stocks:? TSLA, BIDU, CLX, KMB, CTRP, FSLR, JD, G
Be sure to check earnings release dates