November 21, 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
Long??Ford (F)???????????????????????????????????? 14.19?????????? 14.00
Long GDX 5 DEC 14 21 Call?????????????? .36
The above stops are Stop On Close.?? ? ? ? ? ? ? ? ? ? ? ???????????????? ? ? ? ?? ? ? ? ? ? ? ? ? ?
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Today's Working Orders
No working orders.
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?Stocks...
DIG...is breaking out to the upside on a weekly chart. As long as this is above 65.50 and closes today over this level I'm bullish, looking for an initial move to 69.
MIDCAP...is attempting an ORH week with a close over 14,434
Bonds ...
30 Yr. Futures... 142.10 is weekly resistance and the closing upside pivot.
Sustained price action above will see the Bonds trading a point at a time to the upside.
Bund...needs price action and a close below 151 to break.
FX...
USD/JPY...116.80 is Yen resistance / Dollar support (app 85.61 Futures)
This will also act as closing upside pivot for Yen.
Commodities...
OIL...as long as WTI holds 75.60 it's going to rebound.
It just took until expiration to put in the type of low Brent has.
77.40 is first mvg avg resistance. 78.25 is is next.
Brent...needs over 80.20 to rally. 77.83 is support and the closing downside pivot.
Silver...needs price action and a close over 16.45 to break out to the upside.
Above 16.45, look for an initial test of 17 at the 50 DMA.
General Comments or Valuable Insight
It's Gann day,the day when instruments can change either confirm or direction, "who we gonna screw?"
It is no longer profitable to be expecting big downside in the Oil complex, rather you should be looking to buy the breaks against my #' sets with a tight stop.
The short squeeze has started in Brent with price action over 80.20 .
The chart pattern in the metals is positive.
There appears to be more upside in the miners than the metals.
Today the Gold & Silver sat while the GDXJ rallied almost 5% intraday.
Hence the punt in the GDX calls.
The Risk is just shy of $1500 on 40 calls if the Gold goes to zero today.
There are two instruments which will have my attention today.
EUR/AUD...after trading at it's 200 DMA yesterday, it's now retesting the bottom of the range @ 142.56 with a 3 figure move off Draghi 's comments.
The other is the Spu/Bond spread which is within spitting distance of retesting the Sept high we broke from.
This is an important area for it should pause the rally the first time up in the Indices.
For Medium Term Outlook click here.
?For Glossary of terms and abbreviations click here.