November 5, 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? JJG??????????????????????? ??????????????????? 37.00 ? ? ? ? ?? 36.80? ? ? ??????????? 42.50
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Today's Working Orders
BUY EUR/JPY @ 141.25 GTC
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Stocks...
DAX...91.60 is this weeks support and the downside closing momentum level.
Sustained price action and a close above 93.65 should be considered an upside break out.
Nasd 100... 4100-20 is support and the closing downside pivot zone..
Nikkei...could retrace to 16,450 and still keep the monthly ORH pattern intact.
The resting buy stops are @ 18,365 with a tgt just shy of 20,000 for this initial move.
Bonds ...
30 Yr. Futures... Price action over 142.10 resistance is needed for higher.
Closes under 140.00, as seen on the monthly chart, is needed for higher rates.
BUND...151.83 should be monitored for a potential head & shoulder formation.
Having said that, there is no upside to German rates until you see closes under 150.00
FX...
Euro...126.05 is today's resistance. Sell rallies.
AUD/JPY...100 is a natural # and will act as resistance the first time up. Numbers like these are natural barriers and generally take some time to get through.
98.67 is the qtrly close and will be pivotal all day.
As long as 98.10 holds on breaks, this can run to just shy of 102. There are higher targets, however this is a zone that should take some time to get through.
AUD/USD...86.58 is the level to key off of for the next move. Aussie has to get back above this level and stay there to not see a lower currency.
85.50 is major Fib support. Aussie should struggle to get through this zone the first time down.
Commodities...
Natgas....3.73 is support and the closing downside pivot for the rest of the year.
4.33 is the 200 DMA resistance level.
This is a big exit zone for longs. Bears can use the level to try a contra trend trade to see what develops.
Brent...82.50 is measured Fib support, 50% of the past 6 years. I have lower targets.
Sell rallies against 84.50.
WTI...the same matching level in crude comes in around 73.50. The next set of qtrly stops lie @ 74.95.
Oil needs to sustain above last nights high for a rally to form up.
Grains...need to hold today or we're out of the JJG and will wait for the charts to set up again.
GOLD...1140 is mvg avg support. 1086 is the first major Fib retrace from the 2001 low.
General Comments or Valuable Insight
Today I featured AUD/JPY which is considered a Risk On cross.
It has mirrored the break and rally in the Equity Indices.
DAX will be in focus today into tomorrow with the ECB meeting Thursday.
6:45 CDT is the Monetary Policy Decision
7:30 CDT is the Press Conference.
This will be a market moving event.
The Currencies are responding to lower growth expectations with competitive devaluations against the Greenback.
Don't fight the flow today. Trade the opening ranges!?
AUD/JPY....Long Aussie/Short Yen
AUD/JPY....Long Aussie/Short Yen
DAX
For Medium Term Outlook click here.
For Glossary of terms and abbreviations click here.