TradeStalker's
R.B.I. Trader's Update
9 / 8 / 2009
(Published Since 1996)
...............................................
Dateline: 6:03 pm eastern time, 9/8/2009
The ES opened up 11.50 points on Tuesday, and just a tick
over the 1024.50-1025.25 resistance, then it promptly
reversed and dropped to 1020.50 in 15 minutes before a
bounce. The bounce didn't stick and one more push lower to
1019.00 occurred and then the move reversed. The rally off
the 1019.00 low failed 3 times at 1025.50, setting up
another short and we covered at 1021 per an instant message
sent at 11:54 am. Then 1023.50 became important resistance.
A bounce reached 1023.50 exactly, and then turned back down
3+ points to 1020.25. In the last hour the 1025.25-1025.50
area was a lid, with the ES pulling back 3 points and then 2
points from the 1025.25 and 1025.50 levels. The ES then
bounced to 1025.25 again before settlement.
Many of the short term internal gauges are now overbought.
Also, the Vix reversed on Tuesday and closed up on an up day
for the market. That reversal in sentiment is a short term
negative for the market. Also, the market opened on its
highs on Tuesday and that 1025.25-1025.75 zone was rejected
all afternoon on Tuesday. The ES had just a 6.75 point range
excluding the gap on Tuesday, and a narrow range at the top
of a trend tends to be a precursor of a change of direction.
On Wednesday, look for the better opportunities to set up on
the short side. A break over the 1025.75 area is needed to
avoid reversing from up here. If the market opens higher,
and over the 1025.75 high from Tuesday, it shouldn't stay up
there for very long so be on alert for a possible "prairie
dog" pop that reverses from the 1027.75-1028.25 zone. The
volatility should pick up, so if the ES falls towards what
should be good support around the 1016.25-1015.75 area in
front of the Fed's Beige Book release (at 2 pm on Wednesday)
beware of a reversal back up. If that zone is not reversed,
then we could see the 1012.50-1011.50 area on the ES before
a turn around occurs.
September 2009 SP futures resistance
symbols: emini = esu9 / big contract =spu9
1025.25-1025.75
1027.75-1028.25
1032.00-1032.50
September 2009 SP futures support
symbols: emini = esu9 / big contract =spu9
1023.00-1022.50
1019.75-1019.00
1016.25-1015.75
1012.50-1011.50
1007.50-1006.50
September 2009 Nasdaq futures resistance
symbols: emini = nqu9 / big contract = ndu9
1656.00-1656.75
1660.75-1662.50
1666.50-1668.25
September 2009 Nasdaq futures support
symbols: emini = nqu9 / big contract = ndu9
1648.75-1648.25
1644.00-1643.00
1640.50-1639.50
1631.00-1630.00
September 2009 Dow futures resistance
symbols: emini = ymu9
9502-9508
9522-9526
9568-9572
September 2009 Dow futures support
symbols: emini = ymu9
9478-9474
9452-9448
9435-9431
9382-9378
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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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