TradeStalker's
R.B.I. Trader's Update
2 / 16 / 2009
(Published Since 1996)
...............................................
Dateline: 5:44 pm eastern time, 2/16/2009
NOTE:
I will be back in our previous intraday messenger room
(http://www.tradestalker.com/RBIchat.htm) starting tomorrow.
If you need your username and password, please email Julie
(tradestalker2@verizon.net) and she will send it to you.
The market rallied early last week, but on Tuesday things
turned bad for the bulls. The ES dropped from an 873.00 high
on Monday to an 805.50 low by Thursday afternoon. On Friday
the market had another two-sided action day. However,
members were warned of failed rallies as the bears still had
the upper hand. After fizzling out at 835.50 on Friday
afternoon, the ES fell over 16 points to 818.75 just before
settlement.
The internal gauges are beginning to get slightly oversold,
but are not yet to big extremes. The market simply cannot
get out of trouble lately. All of the rallies, even the
parabolic 1 hour runs, are being erased with ease. The
action on Friday showed that the overhead resistance was
tough to get through and stick. The listed resistance at the
835.75-836.25 area on the ES and the 1247.00-1247.50 area on
the NQ were both barely exceeded and then reversed. The
market spent very little time up there on Friday morning
before reversing and then also rejected those zones on the
afternoon retest, so that looks like the upside potential
right now. It will take a break, and hold, of those areas to
get out of trouble short term.
The trends and momentum all are pointing lower and the
market is acting poorly, so expect the bounces to be sold as
soon as the upside fizzles. Should the SP500 cash test the
804 area, the market will need to quickly reverse and start
a good rally. The SP500 has been in the 877-804 range for 24
trading days now and that is the bottom end of that big
range. If the bottom of this big range is broken and not
quickly reversed, then we are in the last push down in this
bear market and could revisit the 740 area on the SP500 cash
again.
On Tuesday, if the market opens lower, look for a reversal
in the first 20-40 minutes of trading to set up a decent
bounce. Thereafter, if that plays out, the first decent
bounce will be a shorting opportunity as soon as the upside
fizzles. Unless the Friday high areas are exceeded and not
quickly reversed, the bounces should offer the better trades
on the short side as soon as the upside momentum fizzles and
a turn begins.
NOTE:
I will be back in our previous intraday messenger room
(http://www.tradestalker.com/RBIchat.htm) starting tomorrow.
If you need your username and password, please email Julie
(tradestalker2@verizon.net) and she will send it to you.
March 2009 SP futures resistance
symbols: emini = esh9 / big contract =sph9
819.00-820.75 - IF GAP DOWN, Key
831.50-832.00
837.25-837.75
840.25-840.75
846.00-846.50
852.50-853.25
March 2009 SP futures support
symbols: emini = esh9 / big contract =sph9
819.00-818.50
812.50-812.00
806.00-805.50
800.50-799.50 - MAJOR
794.00-792.50 - Magnet if 799.50 breaks
March 2009 Nasdaq futures resistance
symbols: emini = nqh9 / big contract = ndh9
1244.00-1244.75
1248.50-1249.00
1253.25-1254.00
1260.25-1261.25
1266.50-1267.75
March 2009 Nasdaq futures support
symbols: emini = nqh9 / big contract = ndh9
1226.50-1225.75 - will be key resistance on gap down
1219.00-1218.50
1211.50-1210.50
1202.50-1201.50
1195.50-1192.75
March 2009 Dow futures resistance
symbols: emini = ymh9
7883-7887
7941-7946
7978-7984
8023-8028
8056-8062
March 2009 Dow futures support
symbols: emini = ymh9
7768-7764
7734-7727
7665-7662
7614-7607
7546-7541
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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) 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.
*************************************************
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