TradeStalker's
R.B.I. Trader's Update
11 / 24 / 2008
(Published Since 1996)
...............................................
Dateline: 6:55 pm eastern time, 11/24/2008
This publication's primary focus is trading the index
futures. However, you can also use my nightly updates to
trade the following ETF's (SPY), (QQQQ), (SDS), (QID),
(DIA), and (DOG).
A gap up open was sold on Monday, but the pullback from
818.25 on the SP futures was soft and they reversed back up
from an 807.75 low. The market was in trend up mode until
reaching 842.50 on the SP futures, then a drop to 825.00
followed. Buyers stepped back to the plate and the move went
parabolic on a run up to 866.25 with about 15 minutes left
in stock trading. The market dropped pretty fast, reaching
837.50 on the SP futures, and then the market bounced back
into the close.
It's too soon to tell if the gap on the SP futures is a
break-away gap, or will become a magnet over the next few
days. It looks like a trading range could be starting. A
good low looks to be in place at 739 on the SP futures.
Also, a decent trading top at 866.25 could be in place,
given the late day action on Monday. A pullback to digest
the gains of the last two days should occur before another
go on the upside. A pullback will need to hold the 838.50-
837.50 area on the SP futures, or quickly reverse if broken,
to keep the upside intact.
If the market opens lower on Tuesday, beware of a reversal
in the first 20-40 minutes of trading. If the market can
turn up from around the 838.50-837.50 area on the SP
futures, or quickly reverse if broken, then another run to
test or break Monday's highs is possible. If that occurs,
and the market stalls and/or reverses from the 865.50-866.50
865.50-866.50 area, then a good trade should set up on the
short side.
The initial resistance is at the 855.00-856.00 area on the
SP futures and 1155.25-1156.25 area on the Nasdaq futures.
If those are not sold, then the 865.50-866.50 area on the SP
futures and 1166.00-1168.00 area on the Nasdaq futures would
be next. If the market does not double top, or make a 123
toping pattern, then the move could continue on up towards
the 872.50-874.00 area on the SP futures and 1172.75-1174.00
area on the Nasdaq futures. If those are reached, be on
reversal alert IF the market loses upside momentum and the
move fizzles near those areas. If that doesn't occur, and
the market has a head of steam on the upside, then we could
go for the 881.50-882.50 area on the SP futures 1186.50-
1188.75 and/or area on the SP futures.
The first good support is at the 838.50-837.50 area on the
SP futures and 1136.00-1135.25 area on the Nasdaq futures.
If there isn't a turn back up from those areas, then there
is minor support at the 831.50-830.50 area on the SP futures
and 1125.75-1124.50 area on the Nasdaq futures. There was
good buying there on Monday, so if those areas are not
defended then the downside should continue towards the
825.50-824.75 area on the SP futures and 1118.25-1117.75
area on the Nasdaq futures. The market needs to hold around
those areas to avoid trouble. If those areas are not held,
then the 818.00-817.00 area on the SP futures and 1110.75-
1109.50 area on the Nasdaq futures would be next. If the
market gets down there, and still can not get turned back
up, then we could go for the 802.50-802.00 area on the SP
futures and 1096.00-1095.00 area on the Nasdaq futures.
December 2008 SP futures resistance
symbols: emini = esz8 / big contract =spz8
855.00-856.00
865.50-866.50
872.50-874.00
881.50-882.50
December 2008 SP futures support
symbols: emini = esz8 / big contract =spz8
838.50-837.50
831.50-830.50
825.50-824.75
818.00-817.00
802.50-802.00
December 2008 Nasdaq futures resistance
symbols: emini = nqz8 / big contract = ndz8
1155.25-1156.25
1166.00-1168.00
1172.75-1174.00
1186.50-1188.75
December 2008 Nasdaq futures support
symbols: emini = nqz8 / big contract = ndz8
1136.00-1135.25
1125.75-1124.50
1118.25-1117.75
1110.75-1109.50
1096.00-1095.00
December 2008 Dow futures resistance
symbols: emini = ymz8
8470-8476
8587-8595
8657-8662
8798-8802
December 2008 Dow futures support
symbols: emini = ymz8
8318-8314
8247-8236
8216-8212
8141-8134
8008-8001
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REMINDER:
Real Time subscribers can view these updates on
the web at this site:
http://www.tradestalker.com/members
---------------------------
Good Trading,
Mike Reed
Copyright (c) 2008 by TradeStalker.com, Ft Wayne, IN.
TradeStalker Updates may not be redistributed without
permission.
www.TradeStalker.com
PO Box 9783, Ft Wayne, IN, 46899
Disclaimer
The financial markets are risky. Investing is risky.
Past performance does not guarantee future performance.
The foregoing has been prepared solely for informational
purposes and is not a solicitation, or an offer to buy
or sell any security. Opinions are based on historical
research and data believed reliable, but there is no
guarantee that future results will be profitable.
We are not advocating trading futures. The prices and
contracts in the TradeStalker Updates specify a manner
in which you could trade. We occasionally mention the
SP500 and Nasdaq futures markets because it is
extremely liquid and tends to lead the other markets.
This is not an endorsement or recommendation of the SP500
and Nasdaq futures markets. The risk of loss in futures
is substantial. You can lose more than your original
investment. We are not Registered Investment Advisors or
Commodity Trading Advisors.
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