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.
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ASNA Long at $14.20
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ETE Long $14.05
Total Premium collected - $2.80
P Long $13.38
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DUST Long $4.50
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FCX Long $12.45
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CIEN Long Oct 21-$22 Call - $1.39
CIEN Short Sept 30th - $24.50 Call - ($.36)
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The low for the day was 2,141.55.? The low did not quite stop on the upside confirming line, however it came within .93 points of that level.
I am sure you recognize the 2,140.62 support level I have been mentioning.
There is still some overhead resistance in the 2,168 area. If price can get through that level, expect it to continue higher.
Shorter term intra day charts are almost in uptrend formations.? If they move into uptrends, expect
further upthrust.
I mentioned yesterday that the most likely price action would be a move to the downside followed by a move back up.? And the move could be timed by a downside reversal on the VIX.
Quite frankly, it did not take long.
The market moved down right off the open and bottomed on the first 10 minute candle.
With a close above the 2,154 area, you can now expect that to act as support.
Continue to follow the levels.
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 stalled at 14.76, just 8 cents under the 14.84 resistance level I mentioned yesterday.
With a close at 13.10, the VIX would still need two closes above 13.28 to move higher.
12.50 still remains as major support.
Minor support is at 12.89.
S & P 500 Cash Index:?
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
Objective should be back to 2,187.50.
Minor levels to watch are 2,164.10, 2,156.30 and 2,148.40.
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 surged nicely yesterday and closed at 118.50.
119.14 should offer minor resistance.
117.19 is a minor support level.
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 took out the 137.50 level, closing at 138.70.
A close today above 138.28 and the TLT should move up to 140.63.
139.06 is a minor resistance level.? 138.28 should be minor support.
GLD:
Major level - 131.25
Minor level - 130.46
Minor level - 128.91
Major level - 128.13
Minor level - 127.35 *
Minor level - 125.78 *
Major level - 125.00 *
Minor level - 124.22
The GLD should retest the 125 level.
126.17 is a minor support level.? 126.95 should be a minor resistance level.
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 dropped to a low of 66.14 before reversing to close at 66.89.? This is just 9 cents above the 66.80 level I mentioned yesterday.
If the XLE closed under 66.80, this should confirm a move down to 65.63.? If it holds, expect the XLE to head higher.
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 FXY is within 12 cents of the 96.48 level.
96.88 is a level that should be very difficult level to get through on this drive.
If it does, expect it to head higher.
Apple:
Major levels for Apple are 118.75, 115.63, 112.50, 106.25, 100, 93.75,? and 87.50.
Apple continues to hold the 112.50 level.
The short term 60 minute chart has moved into an uptrend. Expect another drive to the upside.
Watch list:
Bullish Stocks: AMZN, NTES, BIDU, DPZ, FLT, EW, BABA, ADBE, MA, WDAY, V, NVDA, SRPT, DLB, PTC
Bearish Stocks:? VRTX, TGT, LEN, HRI, CBI, HFC, TILE, SHLD, SRCL
?
Be sure to check earnings release dates.
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