TradeStalker's
Support and Resistance Update
6 / 09 / 2011
(Published Since 1996)
...............................................
Dateline: 6:36 pm eastern time, 6/09/2011
The higher open on Thursday was sold, but buying started at
the 1273.50 area (on the September e-mini SP futures, ES
U1)and a run up to 1284.75 occured before pulling back. The
dip held at 1281.25 and then pushed back over that 1284.75
early high as it turned into trend up support intraday. The
key 1288.50 level was reached with about an hour left in
stock trading, and that was a set-up to short and a drop
back to 1281.50 occurred as the market dropped into the
close.
On Thursday everything was looking good until the 1288.50
key level was rejected and then especially when the 1285
area was cut through. The averages closed up on the day, but
the late day drop showed that the market is not yet out of
the woods and ready to go on a tear on the upside.
For the most part the oversold extremes have been erased
short term. Given the recent drubbing and the late day
dumping of stocks on Thursday, don't expect the bounces to
stick just yet. The NQ pretty much led the moves in both
directions on Thursday, and ended on a weaker "get me out"
kind of end to the day. It actually made a lower low on
Thursday before turning back up, and a failure to clear/hold
its 2257.75 area also keeps the pressure on the downside.
On Friday, as long as the initial resistance is not cleared
and held (it should be short if an early pop up there
stalls/reverses), the market will be vulnerable and should
at least test the 1277.75-1277.00 area on the September ES
and/or the 2242.00-2240.50 area on the September NQ. A
bounce should come from there, however if those are not
defended on a pullback and spark a decent bounce, then a
drop back to the Wednesday low area on the ES down around
the 1272.00-1271.00 area is likely still. If that area is
broken, then it could get a bit ugly again to finish the
week.
September 2011 SP futures resistance
symbols: emini = esu1 / big contract =spu1
1284.50-1285.25
1288.00-1288.50 *major
1291.00-1291.50
1295.00-1295.50
September 2011 SP futures support
symbols: emini = esu1 / big contract =spu1
1281.75-1281.25
1277.75-1277.00 *strong
1272.00-1271.00 *major
September 2011 Nasdaq futures resistance
symbols: emini = nqu1 / big contract = ndu1
2257.00-2257.75
2262.50-2263.50 *major
2266.00-2266.50
2273.00-2274.00
September 2011 Nasdaq futures support
symbols: emini = nqu1 / big contract = ndu1
2248.00-2247.50
2242.00-2240.50 *strong
2232.50-2232.00 *major
Good Trading,
Mike Reed
Copyright (c) 2011 by TradeStalker.com, Ft Wayne, IN.
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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
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is substantial. You can lose more than your original
investment. We are not Registered Investment Advisors or
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