November 3, 2016 - MDT Pro Tips A.M.

Total Premium Collected? $1.95

ASNA Long at $14.20
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DUST Long $4.50
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FCX Long $12.45
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DYN Long at $12.55
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The markets continued their slide yesterday, with the S & P 500 closing another 13.78 points to the downside.? It closed at 2,097.94. The implication now is if the S & P 500 closes under 2,109.00 today, then I would expect a move down to 2,062.50.

The short term charts continue to remain oversold.? A bounce would not be unexpected; however, I would expect that any rally would ultimately fail.? 2,125 would be a level to look for a failure on a rally.

The markets have not come close to registering a climax volume day during this sell off which tells me there should be more room on the downside.

Also, the Fed announcement yesterday resulting in them standing pat on interest rates. Not quite a shocking announcement as I don?t think anyone expected rates to rise before the election.

The much more exciting event yesterday was game 7 of the World Series, won by the Cubs.

FB shares are down pre open based on their earnings.

Friday we will get the Non Farm Payroll which will be closely watched by investors to help give clarity if a rate hike is coming next month.

Continue to monitor the levels for entry points.

Here are the Key Levels for the Markets:

$VIX:

Major level - 25.00
Minor level ? 24.22
Minor level ? 22.66
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 will need two closes above 19.53 to move up to 21.88. Yesterday, the VIX closed at 19.34, so it still needs two closes above 19.53.? There is resistance around the 19.50 area for the VIX.? A reversal down should produce a bounce in the market.

$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

A close today under 2,109.38 level and the S & P 500 should drop to 2,062.50.

The minor 2,117.20 level should now be resistance.? And 2,109 as well.? 2,086 should be minor support.

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

The QQQ closed under 115.63 level yesterday. Two closes under 114.84 and the QQQ should drop to 112.50.

114.06 should offer minor support and 115.63 should now be resistance.

TLT:?

Major level - 137.50
Minor level - 136.72
Minor level - 135.16
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

?The TLT will need two closes above 132.03 to move up to 134.38.? Minor support is at 131.25 and 130.86.? 132.40 should offer resistance.

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

The GLD hit a high of 124.76 before pulling back.? 125 should be resistance.

122.66 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 stopped at 67 before closing at 67.87 yesterday.? A close today under 67.96 and I would expect the XLE to test 65.63.

68.75 should be minor support.

FXY:

Major level: 96.88
Minor level: 96.49
Minor level: 95.70
Major level: 95.31
Minor level: 94.92
Minor level: 94.14
Major level: 93.75 *
Minor level: 93.36
Minor level: 92.58 *
Major level: 92.19
Minor level: 91.80
Minor level: 91.02
Major level: 90.63

The FXY came within 8 cents of the 93.75 level.? Minor support should be at 92.97. ??If the FXY can clear 93.75, look for a move up to 97.

AAPL:

Major levels for Apple are 118.75, 115.63, 112.50, 106.25, 100, 93.75, and 87.50.

I would expect a test of the 106.25 level.? At this point, the higher levels should offer resistance, namely 114.06 and 112.50.

WATCH LIST:

Bullish Stocks: NOC, GS, BA, MA, NVDA, AKAM, QCOM, MSFT,

Bearish Stocks:? CMG, REGN, AGN, CI, KMB, VRTX, ESRX, RARE

Be sure to check earnings release dates