October 6, 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

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Short 1 EURO ? ? ? ? ? ? ? ? ? ? ? ? 128.76 ??????? 122..00

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Today’s Working Orders

BUY 1?EURO @ 122.40 GTC…This is a closing trade.

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Stocks…

SPU’s …need sustained price action back under 1954 to weaken.

1972 is today’s resistance and closing upside pivot.

GOOGL…needs sustained price action and a close over 591 to held propel the indices higher.

VIX…13.55 is support where the 50 & 200 DMA cross. Closing below is bullish equities.

ASX 200…needs closes over 5340 to attract buyers.

 

Bonds

 

FX…

EURO…125.80 puts in another small reversal to the upside. 126.80 is the mean downtrend. Euro would need a couple of closes over this level to run out longer term shorts.

USD/JPY...will need back under 108.65 close for the Yen to weaken. Yen completely negated the risk off pattern on Friday matching Yen weakness with Spu strength.

AUD/USD…the 88.10 closing momentum level from last Thursday is now at app 87.75

 

Commodities

Gold… the long term sell stops? are @ 1179.

Silver…should get sticky near 16.30. It needs over 17.50 to rally anywhere.

Crude… A closed under 90.58 putting in an ORL week. Point & figure shows consolidation in the Oil. It needs above 90.58 for higher of below 89.30 for lower.

Soybeans…are trying to bottom. Beans gain upside momentum over 9.27 targeting 95.50 and then 10.00.

JJG…has been oversold for a while. The daily looks like it could rally to 34 for a start.

35.50-36 is in the cards if the Soybeans start a run toward $10 to fill the last big gap on the charts.

 

General Comments or Valuable Insight

The Dollar is in profit taking mode causing a bid to the precious metals and the Oil.

Gold failed to elect the macro sell stops in Asia.

 

Macro sell stop levels can always be the catalyst for directional traps. Care should be exercised since the metals are very oversold.

The Grains are in play again with the Wheat set up for a rally to 5.14

 

?S&P 500 Futures

141005_184617_CQG_Integrated_Client_Chart_EPZ4_-_E-Mini_S&P_500_Dec_14_Point_&_Figure_25x3_Ticks

GOLD

141005_193435_CQG_Integrated_Client_Chart_GCEZ4_-_Gold_(Globex)_Dec_14_Point_&_Figure_100x3_Ticks

Soybeans

141005_191514_CQG_Integrated_Client_Chart_ZSE_-_Soybeans_(Globex)_Daily_Continuation

JJG?

141005_192306_CQG_Integrated_Client_Chart_AP_-_SFE_SPI_200_(S&P_ASX_200_Index)_Monthly_Continuation_(Delayed_by_10_mins)

For Medium Term Outlook click here.

?For Glossary of terms and abbreviations click here.