TradeStalker's
R.B.I. Trader's Update
3 / 2 / 2009
(Published Since 1996)
...............................................
Dateline: 6:54 pm eastern time, 3/02/2009
The market gapped down on Monday, and buyers stepped to the
plate and the market bounced a bit. However, the move
fizzled at 724.50 on the ES about 30 minutes into the
trading day, and a trend down move was underway. Around 1:30
p.m. the market made its only counter-trend bounce of the
day, as the ES went from 703.00 up to 712.50. That coincided
with the 60ema on the 5 minute chart, and the market rolled
back over. The ES finally dropped under 700 with about 20
minutes left in stock trading, reaching a 698.75 low before
reversing. The rebound took the ES back to 706 and it
settled well above fair value.
The market showed a bit of capitulation on Monday. Only 203
advancing issues on the NYSE is rare, and the closing Trin
above 3.50 is normally a sign of panic selling. This should
set the stage for a decent rally attempt on Tuesday. There
is some economic data on the docket before the open, and
also the ISM Index at 10 a.m. eastern time. If this turns
out to be the case, it looks like the ES should make an up-
down-up type of pattern and then one more drop to test/break
the Monday lows. We'll see how that plays out. If it does,
then a reversal should mark a good trading low for a good
sized snap-back rally.
On Tuesday look for early strength to fizzle to set up a
trade on the short side, and then the first decent pullback
should set up a buying opportunity when the downside slows
and begins to turn back up. On the other side of the coin,
if there is an early drop under 700 on the ES, and then the
market turns back up through that level, it should spark a
decent rally. After the early going, as long as the 700
level on the ES is held, the market should be "ok" for a
decent rally. If the ES goes under 700 and can not quickly
reverse, then the market is still in trouble and the ES will
probably drop another 10+ points before getting footing and
turning back up.
March 2009 SP futures resistance
symbols: emini = esh9 / big contract =sph9
707.50-708.00
712.50-713.00
719.25-720.00
724.00-724.50
732.50-733.00
March 2009 SP futures support
symbols: emini = esh9 / big contract =sph9
699.50-698.75
694.75-694.00
688.00-687.50
684.00
March 2009 Nasdaq futures resistance
symbols: emini = nqh9 / big contract = ndh9
1089.25-1090.50
1095.25-1096.50
1101.50-1102.50
1107.00-1107.75
1116.60-1117.50
March 2009 Nasdaq futures support
symbols: emini = nqh9 / big contract = ndh9
1075.00-1074.25
1068.75-1068.00
1060.50-1059.75
March 2009 Dow futures resistance
symbols: emini = ymh9
6814-6819
6868-6873
6914-6917
6962-6967
7048-7053
March 2009 Dow futures support
symbols: emini = ymh9
6745-6740
6698-6693
6648-6643
---------------------------
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.
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)
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