TradeStalker's
R.B.I. Trader's Update
3 / 31 / 2010
(Published Since 1996)
...............................................
Dateline: 6:56 pm eastern time, 3/31/2010
A lower open was bought on Wednesday, but the bounce didn't
stick and the ES dropped from 1167.00 to 1161.25 in the
first 25 minutes of trading. The move then reversed back up,
and the ES rallied back to 1170.50 before pulling back. A
bounce back to 1170.50 was rejected again, and then a 1-2-3
top formed and the market headed lower in a hurry. The
market dropped to test the early lows then reversed with 15
minutes left in stock trading (30 left for the futures) and
rallied back into the close. The settlement price is because
of the stupid "quarterly settlement at fair value".
NOTE: There will be intraday updates on Thursday,
but the next nightly update will be sent on Sunday
night. We wish you a great Easter Day weekend.
Travel safely.
The market has been acting toppy, but buyers step in at the
bottom of the current range and run the market up. The
action on Thursday should be choppy in front of the
Employment numbers that come out on Friday morning. The
expectations for a "good" number are high, so it must not
disappoint or the market might not let stock owners out
gracefully.
In any case, the rally from the lows in the last 15 minutes
of stock trading kept the market in a trading range, and
also left a "W" bottom on the charts. The market is bullish
unless those lows are broken, and then not easily or quickly
reversed. The 1170 area has been reversal territory lately,
but if the 1170.50-1171.00 zone on the ES is not rejected,
then we could see the 1176.00-1176.50 zone tested one more
time before a reversal. So, the first big hurdle would be
getting over the 1170.50-1171.00 zone and holding. Another
failure there could be a set up for a sharp drop.
If the market gets over that zone and holds it, then the
1176.00-1176.50 zone could be in the cards. If the market
gets there and does *not* reverse, then a surprise move back
towards the 1225-1230 area might be possible IF the market
goes into a melt-up mode. Given how anxious the market acted
while it was briefly above the 1170 level, that kind of move
would be a huge surprise. A reversal from near the old high
at 1176 appears to be better odds if the market gets there.
The Employment number is on Friday and the support/
resistance tables expand beyond the current range in case
that breaks the market out of this range.
June 2010 SP futures resistance
symbols: emini = esm0 / big contract =spm0
1168.00-1168.50
1170.50-1171.00 **range high
1173.25-1173.75
1176.00-1176.50 **major
1181.50-1182.50
June 2010 SP futures support
symbols: emini = esm0 / big contract =spm0
1165.50
1163.00-1162.50 **range low
1159.50-1157.75
1156.50-1155.75
1152.00-1151.50
1148.50-1147.75 **major
June 2010 Nasdaq futures resistance
symbols: emini = nqm0 / big contract = ndm0
1961.75-1962.50
1967.00-1967.50 **range high
1971.50-1972.50
1976.75-1977.25 **major
1982.00-1983.00
June 2010 Nasdaq futures support
symbols: emini = nqm0 / big contract = ndm0
1955.50
1952.50-1951.50 **range low
1944.25-1942.50
1939.25-1938.50
1934.25-1933.50
1924.25-1922.25 **major
June 2010 Dow futures resistance
symbols: emini = ymm0
10825-10828
10843-10846
10875-10879
10894-10898
10922-10925
June 2010 Dow futures support
symbols: emini = ymm0
10800
10775-10771 **range low
10753-10747
10738-10732
10697-10694
10638-10633 **major
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Good Trading,
Mike Reed
TradeStalker.com
Copyright (c) 2010 by TradeStalker.com, Ft Wayne, IN.
TradeStalker Updates may not be redistributed without
permission.
This publication's primary focus is trading the index
futures ($ES_F). However, you can also use my nightly updates to
trade the following ETF's (SPY), (QQQQ), (SDS), (QID),
(DIA), and (DOG)
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The foregoing has been prepared solely for informational
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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.
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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
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