October 27, 2016 - MDT Pro Tips A.M.

Total Premium Collected? $1.95

ASNA Long at $14.20
Total Premium Collected $.75

DUST Long $4.50
Total Premium Collected? $.70

FCX Long $12.45
Total Premium Collected? $.24

DYN Long at $12.55
Premium Collected $.48
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The S & P 500 ended up closing down 3.73 points, at 2,139.43.? It has now given back all the gains from Monday.

The low for the day ended up at 2,131.59 or about six points above the major 2,125 support level.

Yesterday closed under the 2,140.62 level, so for the market to head up, it will have to close above that level today.?

The low for the day was within 1.50 points of the minor level I mentioned yesterday, which was 2,132.80.? There were two runs down to that level.

This bearish price action all began on Monday when the S & P 500 could not break through the midband on the 60 minute chart.? The midband will often act as a strong line of resistance and in this case, it did again.

The bullish scenario at the moment is that the averages on the 60 minute chart are starting to flatten out and are very close to crossing over into a bullish formation.

In addition, yesterday?s down to up volume was less than Tuesdays, even though the market closed lower.

There were a few large moves yesterday off earnings.? AKAM jumped 14.61%.? And EW sold off 17.09%.

Continue to monitor the levels for entry points.

Here are the Key Levels for the Markets:

$VIX:

Major level - 18.75
Minor level - 17.96
Minor level - 16.41 *
Major level - 15.63 *
Minor level - 14.85
Minor level - 13.28
Major level - 12.50
Minor level - 11.72

Watch where the VIX opens.? An open below 14.06 and that level should offer resistance.? If 14.06 is exceeded, look for 14.84 to offer resistance.

13.28 should offer support.?? There is minor resistance at 14.45 as well.

$SPX:

Major level - 2,250.00
Minor level - 2,234.38
Minor level - 2,203.12
Major level - 2,187.50
Minor level - 2,171.88
Minor level - 2,140.62 *
Major level - 2,125.00 *
Minor level - 2,109.38
Minor level - 2,078.12
Major level - 2,062.50

2,140.62 should be a level to watch today.? If the S & P 500 does close under that level, a retest of 2,125 should be expected.

Minor support is at 2,132.80 and 2,136.70.

QQQ:?

Major level - 121.88
Minor level - 121.10
Minor level - 119.53
Major level - 118.75 *
Minor level - 117.97 *
Minor level - 116.41
Major level - 115.63
Minor level - 114.84
Minor level - 113.28
Major level - 112.50

The QQQ closed just under 118.75, at 118.38. Minor support should be at the 117.97 level.

And for the QQQ to move lower, it would need two closes under 117.97.

118.16 is a minor support level.

TLT:?

Major level - 137.50
Minor level - 136.72
Minor level - 135.16
Major level - 134.38
Minor level - 133.60
Minor level - 132.03 *
Major level - 131.25
Minor level ? 130.46
Minor level ? 128.91
Major level ? 128.13

The TLT held just above the minor 132.03 level which should be support.? A break under that level and I would expect the TLT to test 131.25.

132.42 could offer resistance.

GLD:

Minor level - 124.22
Minor level ? 122.66
Major level ? 121.88
Minor level ? 121.10
Minor level ? 119.53 *
Major level ? 118.75
Minor level ? 117.97

The GLD closed at 120.79, just under the minor 121.10 level.? A test of 118.75 should be the objective.

Minor support is at 120.31.? And 121.10 should offer resistance.

 

XLE:

Major level - 75.00
Minor level - 74.22
Minor level - 72.66
Major level - 71.88
Minor level - 71.10
Minor level - 69.53 *
Major level - 68.75 *
Minor level - 67.96
Minor level - 66.41
Major level - 65.63

The XLE came to within 17 cents of the 68.75 level before reversing to close at 69.82. Minor support should be at 69.14.

FXY:

Major level: 96.88
Minor level: 96.49
Minor level: 95.70
Major level: 95.31
Minor level: 94.92
Minor level: 94.14
Major level: 93.75 *
Minor level: 93.36
Minor level: 92.58 *
Major level: 92.19
Minor level: 91.80
Minor level: 91.02
Major level: 90.63

The FXY could not close above 92.58, so I would expect a move to 92.19. 92.58 should now offer resistance.? 92.29 could be minor support.

AAPL:

Major levels for Apple are 118.75, 115.63, 112.50, 106.25, 100, 93.75, and 87.50.

Apple gapped down and closed at 115.59
offer their earnings report.? This is just under the 115.63 level.? At this point, trading in the direction of the breakout or breakdown would make sense.? A retest of 112.50 could be possible and would be a great price to get long.? 113.28 is a minor support level.

WATCH LIST:

Bullish Stocks: GOOGL, NTES, GS, CXO, BA, MA, FANG, SWKS, MSFT, AKAM

Bearish Stocks:? REGN, KMB, CLX, TSCO, CTSH, WTR, RH, CREE

Be sure to check earnings release dates