TradeStalker's
R.B.I. Trader's Update
3 / 12 / 2009
(Published Since 1996)
...............................................
Dateline: 6:56 pm eastern time, 3/12/2009
Early weakness held and reversed from 710.75 on the ES on
Thursday, just 2 ticks above the 710.25-709.50 area, and
then reversed. The rally was strong as the ES moved up 21.25
points to 732.00, and then pulled back to 725.00 by 11am.
The market turned back up and rallied in trend-up fashion,
with the 20ema on the 5 minute chart holding on pullbacks.
The move lasted until the final minutes of trading, as the
ES touched 750.00 before settlement.
The first part of the up-down up pattern started the day
perfectly, as the ES tested the 710.25-709.50 support zone
and reversed. However, that was a larger rally than
expected. In any case, after 3 up days in a row, the short
term indicators are at extreme overbought readings. In this
bear market, these readings have been seen at nearly every
counter-trend top, and then the market then starts another
wicked streak of hard down days. In addition, the Vix gave a
2nd sell signal on Thursday, stretching more than 10% under
its 10 day average and at a level last seen on February
13th.
The way the market is acting, it is hard to fight this trend
at the moment. A decent sized selloff that can get footing
and turn back up should set up a decent trade on the long
side. Until that pullback occurs, the risk/reward at this
point does not favor the bulls. So, if there is early
strength and it fizzles/reverses in the first 40 minutes of
trading on Friday, it should set up a good shorting
opportunity. This will especially be the case if the ES pops
up towards 752 and reverses. If that plays out, and the ES
can hold the 735.00-734.50 area on a pullback, then it
should set up a trade on the long side. However, if that
area is broken, and not quickly reversed, then the market
will be back in trouble again.
June 2009 SP futures resistance
symbols: emini = esm9 / big contract =spm9
750.00
752.00-752.50
757.50-758.00
761.50-762.00
779.00-779.50 **major**
June 2009 SP futures support
symbols: emini = esm9 / big contract =spm9
745.00-744.75
741.00-740.25
735.00-734.50 **trend support**
730.50
725.50-725.00 **strong*
717.50-717.00 **major**
710.75-710.00
June 2009 Nasdaq futures resistance
symbols: emini = nqm9 / big contract = ndm9
1167.00
1171.50-1172.00
1178.50-1179.50
1183.25-1184.00
June 2009 Nasdaq futures support
symbols: emini = nqm9 / big contract = ndm9
1161.00-1160.00
1154.00-1153.50
1146.50-1145.75
1139.75
1133.25-1132.50
1124.00-1122.75
1112.25-1111.50
June 2009 Dow futures resistance
symbols: emini = ymm9
7183
7201-7206
7260-7264
7277-7281
June 2009 Dow futures support
symbols: emini = ymm9
7121-7118
7109-7104
7065-7061
7025
6992-6988
6922-6919
6870-6864
CLICK HERE for FREE Trading Articles and Videos!
---------------------------
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
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)
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