TradeStalker's
R.B.I. Trader's Update
1 / 25 / 2009
(Published Since 1996)
...............................................
Dateline: 6:48 pm eastern time, 1/25/2009
The ES opened just over the 80.50-799.50 support and then
traded choppy and volatile on the way to the 836.00-836.50
by early afternoon. The 836 level was rejected and after a
bounce to 834.50 failed, a 1-2-3 top started a drop down to
820.75 with about an hour left in trading. A choppy bounce
failed after touching 831.50 on the ES, and then they fell
into their close to settle about 5 points under "fair
value".
Last week the market opened lower and the high for the week
for the ES was made in the first few minutes of trading and
the low was made at 800.50 late Tuesday morning. The rest of
the week was two-sided action inside of that range for the
ES. On Friday, the ES held the 800.50 level, yet failed and
reversed at the 836.00-836.50 area. With the market getting
wound tight within a 35 point range on the ES, a breakout
that doesn't quickly reverse is needed to get a directional
move going. A close over the 840 level on the ES is needed
to get a move going on the upside. On the other side, a drop
under 800 that isn't quickly reversed should bring on a drop
to test the 741 level on the SP500 Cash.
On Monday look for a shorting opportunity if early strength
fizzles at/near the initial resistance zones. Those must be
exceeded and held on a pullback to avoid trouble. If the ES
can pull that off, it could get the upside going. The key
test would be taking out the double top at the 836.00-836.50
area on the ES, or failing there once again. However, if the
market pops up but reverses at/under the initial resistance
zones in the early going, then it sets up a shorting
opportunity and a move back towards the low 800's could then
be in the cards. Unless/until the 836.00-836.50 area on the
ES is exceeded and not quickly rejected, the market is
vulnerable and shorting the rallies when they fizzle/reverse
should offer the better risk/reward opportunities. If the
800 area is tested again, the buyers will need to reverse
the move quickly, otherwise we could see the downside pick
up some steam as the last leg down for this bear market
gives a bit of panic selling before a good low is put in
place.
March 2009 SP futures resistance
symbols: emini = esh9 / big contract =sph9
831.00-831.50
836.00-836.50
842.50-843.00
850.75-851.50
858.00-858.50
864.50-865.25
March 2009 SP futures support
symbols: emini = esh9 / big contract =sph9
816.25-815.75
812.50-812.00
807.50-807.00
800.50-799.50
797.50
794.00-792.50
March 2009 Nasdaq futures resistance
symbols: emini = nqh9 / big contract = ndh9
1178.00-1179.00
1189.75-1191.00
1197.50-1198.25
1207.00-1208.00
1218.50-1220.00
1227.50-1228.50
March 2009 Nasdaq futures support
symbols: emini = nqh9 / big contract = ndh9
1155.25-1154.75
1151.25-1150.50
1146.00-1145.25
1140.25-1139.50
1136.25
March 2009 Dow futures resistance
symbols: emini = ymh9
8050-8054
8108-8112
8159-8164
8247-8254
8297-8303
8349-8355
March 2009 Dow futures support
symbols: emini = ymh9
7929-7924
7892-7888
7848-7842
7798-7792
7761
---------------------------
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) 2009 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.
*************************************************
No comments:
Post a Comment