October 24, 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
Short (EU6Z) EURO ? ? ? ? ? ? ? ? ? ? ? ?? 127.27? ? ? ?? 127.43???????? 124/122
Short (DA6Z)AUD/USD????????????????? ?? 87.82??????????? 87.85
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Today's Working Orders
Sell 2 Yen Futures (JY6Z) @ 92.85!
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Stocks...?
Spu's...got to resistance @ 1956 with a good reaction off the level.
Point & Figure chart shows Bears need to see sustained price action under 1928-30 for lower.
Nasd 100...shows small support @ 3962 with sell stops @ 1339.50.
Bonds ...
30 Yr. Futures...need back under 141.12 close to head lower. Price action over 142.10 will have investors seeking refuge in the bonds for the Sunday Bank stress tests results in Europe.
Bund...has a double top @ 151.12. 150.00 is mvg avg support.
Stuck in the middle.
FX...
Euro...needs to maintain under 126.90 to extend lower. New price action under 126.00 is needed to leave way for another figure or two of downside.
AUD/USD...needs sustained price action below 87.50, the qtrly close, for more weakness.
Aussie keeps making lower highs and lower lows. ( it's creeping down) with Aussie selling in early Asia, followed by a rebound into the European session,
I wonder if this is a result of Vlad diversifying some of that Rouble intervention money?
Aussie is still higher on the week and month, still refusing to give us a good close below 87.50
AUD/JPY...remains firm making Aussie weakness attract buyers vs this cross.
Sell rallies not breaks.
Aussie is still in a huge sideways pattern on the Point & Figure charts.
Futures (DA6Z) are trading app 30-32 tick discount to cash.
USD/JPY... we got close to getting filled last night in early Asia selling Yen @ 107.60 (92.85 Futures). Leave the order working the rest of the day.
Commodities...
OIL...80 dollars is natural support. Sustained price action under targets 77.50 with the next set of macro sell stops @ 77.28.
Resistance is 82.45 with a close over 83.15 needed for bottoming action.
Brent...84.50 is support. This now becomes the downside closing pivot as well.
Closes under 84.50 is needed for another swing down in Brent.
NATGAS...3.74-77 is resistance. The swing count has a tgt near 3.30.
Take care to sell strength not weakness as this instrument is getting oversold on the short term charts.
Grains...it's been a month since I said the Soybeans were going to trade $10.
It's one of the more miserable trades in recent memory.
Nevertheless markets have a destiny with #'s and we're here.
Soybeans can go a little higher, however this is an exit zone for longs the first time up.
General Comments or Valuable Insight
Equity Indices will be the same routine as yesterday.
The capital flows today will be of particular interest given the Bank stress tests Sunday.
All eyes will be on the Europe to see who wants to take their chips off the table before the weekend.
This can create 2 distinct capital flows today. One going from early NY into London's close, and then the late show in the U.S.
Keep it simple today. Just use the opening ranges and the first couple of minutes of price action to see what's what.
Trade the capital flows today and be aware of your time frames.
For Medium Term Outlook click here.
For Glossary of terms and abbreviations click here.