October 26, 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 - $.84
Short Nov 6th-$14 Call - $.35
ASNA Long at $14.20
Premium collected - $.30
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Friday marked the fourth consecutive higher weekly close.
And Friday marked the first day that closed above the midband on the daily chart, since breaking down in August.
At this point, the midband should act as support.?
The top band on the monthly chart is 2,075 and the S & P 500 is within 100 points of that objective.
?
The shorter term charts remain in uptrends for the indexes.
The VIX is almost back down to the 12.50 objective.
A reversal to the upside would be expected.
Friday has some large earnings moves.? SKX was down 31%.
And ATHN moved up 27%.
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 target remains back to 12.50.
The 17 level should act as resistance.
S & P 500 Cash Index:?
Minor level - 2,101.62
Major level - 2,093.80
Minor level - 2,085.98
Minor level - 2,070.33
Major level - 2,062.50
Minor level - 2,054.68
Minor level - 2,039.12 *
Major level - 2,031.30
Major level - 2,000.00
A close today above 2,070 and the objective should be 2,093.80.
Support should be at 2,062.
Nasd 100 (QQQ):?
Minor level - 113.28 *
Major level - 112.50
Minor level - 111.72 *
Minor level - 110.16
Major level - 109.38
Minor level - 108.60
Minor level - 107.03
Major level - 106.25
The QQQ came within 7 cents of the 112.50 level on Friday.
Support should be at 111.70 and 110.
Next level to the upside is 113.28.
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
The TLT continues to trade between the 125 and 121.88 levels.
A retest of 121.88 would be expected.
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 have two closes under 111.72, so a move back to 109 would not be out of the question.
The GLD is in an uptrend on the one and two hour charts.? Support should be around the 109 area.
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 did hit a high of almost 69 on Friday.
It would need two closes above 69.53 to move up to 72.
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 strong move Friday, taking out the 118.75 level.
Two closes above 120.31 and the objective should be 125.
Lower levels should act as support.
Watch list:
Bullish Stocks:? PCLN, GOOGL, AMZN, ORLY, NKE, GPN, HD, CLX, V, MCD, ACN, CRM, VRSN, JOE, DF, ADBE
Bearish Stocks: ILMN, PVH, FOSL, ABBV, CAB, SCTY, VMW, SWKS, DKS, STX, HAE, CFX, ESPR,
Be sure to check earnings release dates.
