Today's Trading Recap: 09/04/09

HOW OUR DAY WENT:

Our early game-plan worked out perfectly
this morning. Last night they were told:

"If there is an upside reaction in the early going,
and the move fizzles out and/or quickly reverses from
the 1006.50-1007.50 on the ES, it should set up a good
shorting opportunity."

The ES popped up on the open and after getting to 1006.75,
it reversed and dropped 6 points to 1000.75 in just 10
minutes. That was a good start, and quite a few called it
a good day and left for the holiday weekend on a good note.
That reversal from just over the 1000 round number was the
start of a good rally into the afternoon. The ES rallied
to 1015.75 and stalled out. The last line in last night's
update stated:

"Should the market get a good rally going and the ES gets
up to the 1014.50-1015.25, a stalling out and/or reversal
is a good setup for a shorting opportunity."

That played out well, as the ES fell 4.25 points to 1011.50
before turning back up. The bounce reversed from 1015.50,
and a double top at resistance gave a relatively modest 3
point drop before bouncing back. Enjoy your weekend! Join
today as we will be ready for the action to resume on
Thursday.

Good Trading,
Mike Reed
TradeStalker.com