TradeStalker's
R.B.I. Trader's Update
2 / 16 / 2010
(Published Since 1996)
...............................................
Dateline: 6:16 pm eastern time, 2/16/2010
The ES turned down from the 1085.50-1086.25 resistance
shortly before stocks opened and dropped to the 1080-1079
updated support about 20 minutes into the trading day. The
ES then made a double bottom at 1079.50 and the reversal set
up a trade on the long side. After running up to 1087.00,
new support was given at 1083 and the ES turned up from
1083.25 and rallied to a new high at 1089.00. The market
then turned choppy, but the dips held the 1086.50-1086.00
old resistance turned new support, and then the ES rallied
to the 1093.50-1094.25 updated resistance at 3:45 pm. The ES
pulled back to the pivotal 1092.50 area and then firmed into
the close.
Since last Friday's gap down lows, the market has put
together a very good rally in a persistent uptrend into the
Tuesday close. The run up in the last 40 minutes on Tuesday
was almost too straight up, and now the 1089.00-1088.50 area
on the ES needs to hold to avoid trouble. This move might
have a bit further to go, possibly back towards the 1097.75-
1098.50 area on the ES, but as stated last night the market
was one good up day away from getting overbought. Now my 3
day Thrust oscillator is at +.60 and the RBI Oscillator
poked into overbought territory. About all that is missing
from the short term gauges is a Vix sell signal. If that
reverses on Wednesday, then it would be a short term
negative also. So, under these conditions another trend up
day is not likely. A 2-sided day is more likely on
Wednesday.
On Wednesday we get the Housing Starts before the open, and
the Fed Minutes are released at 2 pm. If there is follow
through strength, then look for a shorting opportunity if
the move is reversed in the opening 30 minutes of trading.
If that plays out, then the first decent pullback should
hold over the 1089.00-1088.50 area on the ES and set up
another bounce. If that area is broken, then the trends
begin to break. In that case, a bounce back towards whatever
the highs were that stalls/ reverses sets up a good shorting
opportunity.
March 2010 SP futures resistance
symbols: emini = esh0 / big contract =sph0
1094.00-1094.50
1097.75-1098.50
1102.50-1104.00
March 2010 SP futures support
symbols: emini = esh0 / big contract =sph0
1092.00
1089.00-1088.50
1086.75-1086.25
1083.00-1082.50
1080.00-1079.00
March 2010 Nasdaq futures resistance
symbols: emini = nqh0 / big contract = ndh0
1801.00-1802.00
1807.50-1808.25
1812.50-1814.00
March 2010 Nasdaq futures support
symbols: emini = nqh0 / big contract = ndh0
1798.00
1795.25-1794.50
1792.50-1791.50
1787.75-1786.75
1782.00-1780.50
March 2010 Dow futures resistance
symbols: emini = ymh0
10252-10256
10282-10286
10335-10342
March 2010 Dow futures support
symbols: emini = ymh0
10228
10204-10200
10182-10179
10157-10153
10115-10110
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Good Trading,
Mike Reed
TradeStalker.com
Copyright (c) 2010 by TradeStalker.com, Ft Wayne, IN.
TradeStalker Updates may not be redistributed without
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The foregoing has been prepared solely for informational
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research and data believed reliable, but there is no
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This is not an endorsement or recommendation of the SP500
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