I showed Daily Chart 1 of the S&P e-mini futures in a free webinar held by TradeGuider yesterday (Monday) morning. You can see that Monday's bar C was still in progress. We noted that we were likely creating a top and could expect at least a modest pullback. Here was the rationale: The daily chart had reached the Weekly Supply Line (red trend line) on Thursday last week … [Read more...]
Happy Fourth of July!
Happy Fourth of July everyone! Helen and I wish everyone a wonderful and safe holiday weekend. For readers who may not know, the Fourth is our national holiday celebrating our adoption of the Declaration of Independence from Great Britain. This occurred in 1776. We actually severed ties from England two days earlier, on July 2, 1776. On the 4th, our government adopted the … [Read more...]
Fed Day Trading
Fed Day trading almost always involves contraction of volatility in the morning session and expansion of volatility right around the announcement. Often, like today, the pick-up in volatility will trigger an afternoon trend. In yesterday's post, I highlighted my take on key resistance and support for today's trading. These are outlined in boxes on the 3,000 tick chart. We see … [Read more...]
So Far, It’s Been A Pretty Weak Rally
When we look across the three major US stock market indices, the best we can say is, So far, it's been a pretty weak rally. Last Monday (June 9), all three markets made new highs. As the week progressed, the Nasdaq (as represented by the QQQ ETF) tried to hold onto the newly gotten gains, but the Dow (DIA) and the S&Ps (SPY) gave them up. You can see this at the area … [Read more...]
Follow-Up to Yesterday’s Post
In yesterday's post, I noted that there was less volume and less range on Friday, indicating that buyers were becoming tired and to be aware of a potential intraday reversal. Support was identified in the 1940-45 area and resistance could see the market lose steam around 1955-60. Lows were made first today when the market pulled back on low volume into 1946. Minutes before the … [Read more...]
