October 21, 2015 - 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 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.
Current Positions
GOGO? Long at $19.93
Premium collected - $1.25
NCR Long Jan 16 $27 Call
Net Debit - $.90
X Long at $14
Premium collected - $.54
Short Nov 6th-$14 Call - $.35
ASNA Long at $14.20
Premium collected - $.30
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The markets continued their narrow range price action yesterday, with the S & P 500 closing down 2.89.
The futures are trading to the upside this morning before the open.? The key will be to watch the 2,054 level.
If the market stalls there, it should head back down.
A move above that level and it could retest the top band on the monthly chart, which is around 2,154.
Earnings are heating up.? IBM reported and was down $8.58.? And HOG had a 13.9% move to the downside.
This morning, it looks like CMG will have a big move to the downside.? As I write this, it is down almost $50 before the open.
Here are the key levels for the markets.
Stocks...
?
VIX:?
Major level - 25.00
Minor level - 23.44
Minor level - 20.31
Major level - 18.75
Minor level - 17.18 *
Minor level - 14.06
Major level - 12.50
The VIX closed up yesterday at 15.75.
The 17 level should still be resistance.
And the objective should be to 12.50.
S & P 500 Cash Index:?
Major level - 2,062.50
Minor level - 2,054.68
Minor level - 2,039.12 *
Major level - 2,031.30
Minor level - 2,023.35 *
Minor level - 2,007.82
Major level - 2,000.00
Minor level - 1,992.19
The S & P close just under the 2,031.30 level yesterday, at 2,030.77.
Two closes above 2,039.12 and the objective becomes 2,062.50.
Two closes under 2,031.30 and the objective to the downside is 2,000.
Low for the day held just above the 2,023 level.
Nasd 100 (QQQ):?
Minor level - 110.16
Major level - 109.38
Minor level - 108.60
Minor level - 107.03 *
Major level - 106.25
Minor level - 105.46
Minor level - 103.91
Major level - 103.13
I would expect some resistance at the 110.16 area.
Support should be at 107.? Target is to 109.38.
TLT:?
Major level - 128.13
Minor level - 125.78
Major level - 125
Minor level - 124.22 *
Minor level - 122.66 *
Major level - 121.88
Minor level - 121.09
Minor level - 119.53
Major level - 118.75
It would have to close above 125.78 to move higher.
Looks like the? retest of 121.88 is happening.
GLD:
Major level - 115.63
Minor level - 114.85
Minor level - 113.28
Major level - 112.50
Minor level - 111.72 *
Minor level - 110.16
Major level - 109.38
the GLd did close above 112.50 yesterday.
It closed at 112.73.
Two closes above 113.28 and the objective becomes 115.
It has to clear 113.25, which should be resistance.
XLE:
Major level - 75.00
Minor level - 72.66 *
Major level - 71.88
Minor level - 69.53 *
Major level - 68.75
Minor level - 67.97 *
Minor level - 66.41
Major level - 65.63
The XLE reclaimed the 67.97 level, so it would still need two consecutive closes under 67.97 to move lower.
Support should be at 67.97 now.
Apple:
Major levels for Apple are 118.75, 112.50, 106.25, 100, 93.75 and 87.50.
100 should be a major support level for Apple.?
Apple had a nice move yesterday and closed above the 112.50 level, at 113.77.? That scenario was outlined yesterday.
Two closes above 114.06 and Apple should move up to 118.75.
Watch list:
Bullish Stocks:? PCLN, GOOGL, AMZN, ORLY, NKE, GPN, HD, CLX, V, MCD, DPS, CRM, VRSN, JOE, DF, ADBE
Bearish Stocks: ZBRA, EXP, FOSL, LSTR, KSS, CAB, DKS, STX, HAE, CFX, ESPR, PCRX, CUDA
Be sure to check earnings release dates.
