October 11, 2013 - 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 AUD/USD?? ? ? ? ? ? 94.32 ????? 93.70 Close??????? 95.25/96.75
Long FXA??????????????????? 94.31?????? 93.80 Close??????? 95.15/96.70
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Today's Working Orders...
Sell 1/4 AUD/USD or FXA?on the opening
Sell?1/2?AUD/USD?@ 95.14.
Sell?1/2 FXA @ 95.10.
BUY DXJ @ 48.25 Stop On Close Only!
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Stocks...
Spu's...1676 becomes near support. Only price action under 1671 changes the pattern. Maintaining and closing over 1687 will lead to a test of 1705.?1692.25 is the weekly ORH #
Nasd 100...3251.25 is the weekly ORH#
Nikkei...closing and maintaining over 14,500 should lead to a test of 15,200.?14,750 is the weekly ORH#
DXJ...by closing over 48.07 Japan puts in an ORH week.
PIN...17.49 is resistance and the upside closing pivot. Investors that are Long India should Pay for their trade here. ( take some profit to pay for your stop)
VNM...Pay for your trade @ 19.25.
EWW...closing over 66 is needed for another 10%
BRKA...by closing over the weekly ORH level of 172,500 look for an initial tgt of?181,000.
BLK...remains positive?by maintaining over 272 .
Bonds...
30 Yr. Bonds...Those of you that bought the Bonds yesterday should use a 131.30 stop. Pay for the trade @ 133.24 ( Sell 1/2 at this level to pay for the trade and let the rest ride)
TLT...use a 104.45 stop. 105.73 is resistance and the upside pivot. ( Pay for your trade between 106.45-70) 107.95 is resistance and the closing upside pivot.
Closes above 108 tgt 110 +
FX...
USD/JPY...closing over 98.85 (Under 101.18 Futures) starts another leg down in the Yen.
Commodities...
Gold...by failing to hold 1280, has the potential to break as much as 100 dollars with a "Risk On" Board.
Silver...21.20 is next support.
General Comments orValuable Insight
We're still looking to pay for our Aussie trade against 95.25. Leave the working orders as is.
Emerging markets are all encroaching on their respective 200 day mvg avg's. Those that are involved should take some money off the table in?front of these levels. (Pay for Your Trades)
DAX & EWG..these are attempting ORH patterns as well, however caution is needed at the old high for a possible double top. I'd rather play in the U.S. Names or Japan.
Look around the board at what interests you. The XLU,XLP,BKX,XLF? ETF's are all trying to put in an ORH weeks.
DXJ ORH signal is one we intend to take if elected on the close.
Expect more algo driven volatility today.
Let the day set up, we've outlined some potential Bullish patterns however they need the whole day just before the close for confirmation.
AUD/USD...I'm a little disappointed that the Aussie didn't respond better to the China auto sales. Spike up, and fill us on our resting sell order. We've been in a 100 point range for a week.
Given we're close to the high of the recent range.
Sell 25% of the Long position @ the market if you're a Cash or Futures trader.
Cash is currently trading @ 94.80.
Short Term View...
We're in a game of picking the next low for an attempt back to the highs in the U.S. Equity Indices. Right now individual stocks look to be an easier read based off their own technical s.
Go with the flow. Use the 9/30 closes as your macro pivots. Trade the opening ranges and early time frames.
For Glossary of terms and abbreviations click here.