October 5, 2016 Pro Tips A.M
MDT AlertWhile 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.
GOGO? Long at $19.93
Total Premium Collected - $1.95
ASNA Long at $14.20
Total Premium Collected - $.75
ETE Long $14.05
Total Premium Collected - $2.80
DUST Long $4.50
Total Premium Collected - $.70
FCX Long $12.45
Total Premium Collected - $.24
CIEN Long Oct 21-$22 Call - $1.39
Total Premiums Collected - $.83
Short Oct 21-$23.50 Call - ($.25)
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It closed at 2,159.50, down .50%.
I suppose the only bullish scenario is the fact that the market has stayed above the minor 2,140.62? support level.
If we look at a weekly chart for the market, the S & P 500 is still trading within the body of last week's weekly bar.
In other words, at the moment it is another inside day.
So, we still need to monitor the high and low from last week, to see if either level is violated. Last week's high was 2,175.30 and the low was 2,141.55.
At this point, the market is trading closer to the low than the high.
If this week does form another inside bar, then it will mean that the breakout or breakdown move should be even larger than if it did it last week.
Having said all this, we may not get any meaningful move until the Non Farm Payroll set to be released
this Friday.
Pre open, the markets have a slight bullish bias. On a bounce, resistance should be around 2,165. If the market can get through it, it should offer support.
I hope to see you later on today's webinar.
Here are the key levels for the markets.
$VIX:
Major level - 18.75 *
Minor level - 17.96 *
Minor level - 16.41
Major level - 15.63
Minor level - 14.85
Minor level - 13.28
Major level - 12.50
Minor level - 11.72
The VIX closed just under the 13.67 level, at 13.63.
I would expect both 13.67 and 14.06 to offer resistance.
12.50 should continue to offer strong support? for the VIX.
S & P 500 Cash Index ($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
2,156.30 should now be minor resistance. If the market can get above that level, it would become support.
Minor support is at 2,148.40. This is the level to watch in the short term.? A break under this level and the market could drop to 2,125.
Nasd 100 (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 continues to struggle to get through 118.75. Seems like I mention this everyday.
To move up to 121.88, the QQQ will need two closes above 119.53.
To move lower, two closes under 117.97.
Minor support should be at 118.36.
The 60 minute chart has moved into an uptrend, so I would expect more movement to the upside.
TLT:?
Major level - 140.63
Minor level - 139.85
Minor level - 138.28
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
The TLT closed at 135.21 yesterday.? The objective should be back to 131.25.
If the TLT holds at 135.16, it should move up sharply. If this level does not hold, I would expect 134.38 to.
GLD:
?
Minor level - 128.91
Major level - 128.13
Minor level - 127.35 *
Minor level - 125.78 *
Major level - 125.00 *
Minor level - 124.22
Minor level - 122.66
Major level - 121.88
Minor level - 121.10
Minor level - 119.53
Major level - 118.75
The GLD broke hard yesterday and was down 4.35 or 3.47%.? It closed at 120.97.
A close today under 121.10 and the GLD should drop to 118.75.
The GLD is oversold short term and a bounce should be expected.
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
Minor support is at 69.53 and 68.75. Actually, I would expect 68.75 to offer strong support.
The 30 minute chart has moved into an uptrend, so this indicates higher prices to follow.
The next objective is 71.88.
FXY:
Major level: 96.88
Major level: 96.09 *
Major level: 95.31
Major level: 94.53
Major level: 93.75
Major level: 92.97
Major level: 92.19
The support level at the moment is 93.75 and the FXY is sitting right on the price.
If this level is taken out, expect lower prices to follow.
AAPL:
Major levels for Apple are 118.75, 115.63, 112.50, 106.25, 100, 93.75,? and 87.50.
Apple
bounced up nicely off the open yesterday and came back to close at 113.
112.50 should continue to offer support.
111.72 should offer minor support.
113.28 should be minor resistance.
Watch list:
Bullish Stocks: PCLN, AMZN, ILMN, TAP, UNP, WDAY, CAT, EA, SWKS, QCOM, NVDA, APA, WDC, DNKN, STX, AZPN
Bearish Stocks:? AGN, GS, ALXN, ESRX, DIS, CELG, VFC, SBUX, WFC, BBBY, VRX, ACOR
?
Be sure to check earnings release dates.
