TradeStalker's
R.B.I. Trader's Update
12 / 1 / 2009
(Published Since 1996)
...............................................
Dateline: 6:02 pm eastern time, 12/1/2009
Although follow through strength was not expected on
Tuesday, the day still turned out well. The ES reversed from
the 1108.50-1019.00 resistance in the first 30 minutes, and
then it fell to the updated 1103.25-1102.50 support zone.
From there, the ES rallied to the 1111-1113 major resistance
zone, and the ES made a double top at 1111.75 to set up a
trade on the short side. The ES dropped 5.25 points while
the weaker NQ gave back 12.75 points by the close.
We get the ADP Employment Report before stocks open on
Wednesday, and then we get the Fed Beige Book at 2 pm. The
ES and SP500 cash has been in a range since November 10th,
and is 15 trading days old. The internal gauges are still in
neutral short term, however after a big spike last Friday
the Vix reversed to the downside very fast.
The Dow made a new intraday and closing high for the year,
while none of the other averages did the same. The "end of
month, first day of the new month" upside bias is now over.
The market will need to broaden out if there is going to be
an upside breakout that can stick. However, the market acted
like it ran into a wall at the highs on Tuesday. If the
market fails from up here, then it will likely mean a trip
back to the bottom of the range at the 1085-1083 area. If
there is a breakout over the 1111.75-1112.25 zone, and it
isn't quickly reversed, then a run-up towards the 1118.50-
1121.00 area looks like furthest it will get before a decent
pullback.
On Wednesday, be looking to get short near the 1109.75-
1110.25 area with a stop just a bit over the 1112.25 yearly
high. The reward/ risk should be very good, and it could
turn into a trade to hold on to for a few days. If the
market can hold the 1103.00-1102.25 support on a pullback
and reverse back up, then we still have a pretty strong
market. However, if there is not a reversal around that
area, then the 1097.00-1096.25 area, or lower, is likely
before there is a decent rebound.
December 2009 SP futures resistance
symbols: emini = esz9 / big contract =spz9
1109.75-1110.25
1111.75-1112.25
1118.50-1121.00
December 2009 SP futures support
symbols: emini = esz9 / big contract =spz9
1106.75-1106.25
1103.00-1102.25
1097.00-1096.25
1093.25-1092.25
December 2009 Nasdaq futures resistance
symbols: emini = nqz9 / big contract = ndz9
1794.00-1795.25
1799.00-1801.00
1803.50-1804.50
December 2009 Nasdaq futures support
symbols: emini = nqz9 / big contract = ndz9
1787.00-1786.00
1782.00-1781.00
1772.00-1770.75
December 2009 Dow futures resistance
symbols: emini = ymz9
10477-10480
10491-10494
10552-10556
December 2009 Dow futures support
symbols: emini = ymz9
10449-10446
10412-10408
10354-10349
---------------------------
REMINDER:
Real Time subscribers can view these updates, and also get
real time instant messages, on the web at this site:
http://www.tradestalker.com/RBIchat.htm
---------------------------
Good Trading,
Mike Reed
TradeStalker.com
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.
*************************************************
No comments:
Post a Comment