S and P is Starting To Retrace

Let’s take a hard look at where we are since last Tuesday, June 8th when we started this latest upward move in the Market (the S&P):

1. The Market has found resistance at my 1101.00 Trading Level.
2. RSI (Relative Strength Indicator) is responding well on this latest move up.
3. A new Trading Point at 1051.00 has developed.
4. The “floor” or support is confirming – and it looks like it will be 1034.50 (for the Sept. eMini contract) for the new bottom.
5. The Market is very close again to my “magic” number on the RSI when the Professionals like to short the market.  Be very careful.
6. Volume is up on a down day – leading me to believe we will be heading back down to my Trading Point soon.
7. The Market “tanked” in the last hour of trading today – not a good sign of strength.  Yet another reason for the Market to head back down to my Trading Point.

Again, don’t be fooled by this up move.  I expect to see the Market trade back down to 1051.00 (was 1055 on the June eMini contract).  Here are my updated Trading Levels:

1101.75

1086.25

1076.50 (Important Level)

1068.75 (Important Level)

1061.00 (Important Level)

1051.00 Trading Point

1036.00

And here are my updated Trading Points (again more upside than downside – a good sign):

1198.50

1156.25

1109.75

1051.00 (New)

What a day today was…great comeback for the Market (the S&P 500)!  There was a lot of positive things that happened today to suggest that the Market is forming a Major Support area.

1. The Market recovered in the afternoon after a big down turn.
2. This turnaround came with good volume.
3. RSI (Relative Strength Indicator) is confirming that a “Bottom” may have been made.
4. The Market successfully took out my old Trading Point at 1051.25 (which I have stated a number of times it had to do).

I will continue to watch the Market to make sure that in fact a Major Support area has been established; then post the update here and my blog post for TraderKingdom.com on Friday.

Watch for Resistance at the following Trading Levels:

1106.50

1080.50

Here are my updated Trading Points:

1198.50

1156.25 (New)

1109.75 (New)

1051.25 (HIT)

The Market is Closing In on My Trading Point

As predicted last week in my Friday Blog Post for TraderKingdom.com I said that the S&P still needs to HIT my Trading Point of 1107.50 for the eMini June Contract.  Yesterday’s action brought the S&P down to 1112.75.  We should HIT my Trading Point of 1107.50 in the next couple of sessions.  If the S&P continues past 1107.50; then it will likely head down to 1090.75 to 1093.00 before finding support.  If the S&P does not find support then I will update this blog with my projection (it’s not pretty).

I will let you know when the Market has finally found support.  Therefore, please continue to read my posts here and at TraderKingdom.com.

New Trading Point (to the upside):

1156.25

The Market Is Finally Pulling Back

Here is my mid-week update from last Friday’s post on TraderKingdom.com.  But first here is a re-cap of what I said Friday just in case you did not get a chance to read it…Looks like the Market (S&P 500) is beginning to consolidate; if this is true then think of it as a coil of a spring being squeezed until something happens to make it “explode” either up or down.  The Trading Range of the Market is: 1210.50 down to 1179.75.  A break above or below these levels will determine which way the Market is heading in the short-term.  I will update with projections once these levels are broken.  If the Long Term Trading Level does not hold at 1174; then I would expect the next down move would be my Trading Level at 1147.50 (which is where my calculations suggest the Market is heading).

I went on to say last Friday that the…RSI (Relative Strength Indicator) is a little “weak” and the volume is better than it has been but still weaker than I like to see for the Market to continue to climb higher, suggesting a downtrend is possible.

And I mentioned…Like I mentioned last week, the Market is making new highs on low volume – not good and could retrace to at least the newest Trading Point at 1192.75.  We hit that Trading Point and went all the way down to my lowest Trading Level at 1179.75 (to the penny) before finding support and rebounding.  Let’s see how long we will be in this Trading Range.

All of this is playing out now we have to find where the Market wants to turnaround.  I will update when the Market seems to have put in a “bottom” from this latest retracement.

See my Longer Term Trading Levels below:

And here are my updated Trading Points which may be HIT (updated).  These Trading Points are going to need a major negative catalyst to the Market head down to these numbers (still have not seen this catalyst):

1208.25 (New)

1192.75 (HIT)

1117.25

Have a Profitable Day Trading!

Seeing The Weakness I Was Expecting In The S and P

I am seeing weakness in the Market and it is “rolling over.”  Is the Market going to go all the way down to my 1056.00 Trading Point?  I doubt it, unless we get a big enough catalyst as I have mentioned before.  However, I do see it hitting and bouncing off my Trading Levels listed below.

Here are my Intermediate Trading Levels:

1094.50

1084.25 (Important Level)

1076.00 (Important Level)

1067.75 (Important Level)

1057.50 to 1056.00

Have a Profitable Trading Day!

Check Out My Latest S&P Analysis at Trader Kingdom

Please check out my Friday Market updates at Trader Kingdom: http://bit.ly/aBRdQk

Have a Profitable Trading Day!

Are We Bottoming Out On The S and P Feb 9th

Sorry for the lack of posts lately.  I have been busy with some Trading Projects and a new upcoming Radio Show/Podcast Pilot…exciting stuff.  Anyway, I have been putting up posts every Friday for the folks at TraderKingdom.com.  Be sure to go check them out and catch my new post this Friday.

OK, now for a quick recap, my last post on TraderKingdom.com said that the Market (the S&P) could HIT my Trading Point at 1042 and it sure did; which makes my Trading Points so far for the last 3 years 100% accurate.

Now let’s get to some quick analysis.  Monday’s action was actually great for the Market and RSI (Relative Strength Index) is this “bottoming” action.  Today’s move confirmed my Trading Level analysis I did last night but did not get a chance to post (see chart below for my Trading Levels).  I do have a word of caution, a Trading Point has now occurred at 1056 which is right by one of my Trading Levels at 1055.  I strongly feel that we need to HIT 1056 and would expect the Market to go down to 1055 and bounce off this Trading Level.  If 1055 is not a support level; then we will be heading back down to 1040.75.  With that said here are the new Trading Levels and Trading Points:

Trading Levels – Intermediate Term

1087.25

1078.50 (major Level)

1071.25 (major Level)

1064.00 (major Level)

1055.00

And my new Trading Points that need to be HIT:

1132.00

1096.50

1056.00

What Will the S and P Do If the Non Farm Payroll and Unemployment Reports Are Worse Than Expected

Hello Everyone!  Let’s go over what the Market (the S&P) should do if Friday’s Economic Reports are worse than expected.  Typically the Market will pull-back to one of my Trading Levels and could use this as an excuse to trade all the way down to my Trading Point at 1066.25 on the Dec contract.  Lately the Market has been showing signs of weakness and these reports could be what sets up for a nice retracement.  Just look at the chart below and you will see a Market that is rising in Price but not being confirmed by either Volume or RSI.

The following are my mid-term Trading Levels:

1082.00

1069.25 to 1071.50

1060.75

And my Trading Point that should eventually get HIT (traded to) is:

1066.25

Have a Profitable Trading Day!

Nice Bounce For The S and P But Don’t Get Too Excited

Hello everyone!  Well we sure had a nice rally today.  However, I am going to be the guy wearing the “black hat.”  Here’s why:

1) We came close to Hitting my Trading Point at 1037.00 (in fact missed it by 1 point – Wednesday’s low was 1038.00).  Not good enough for me.  We still need to HIT it.

2) Volume was low (see my chart below).

3) We may rally to 1066.50 tomorrow but I think that will be a resistance area that may block us from going higher (depends on how good the Market is feeling tomorrow).

Therefore I still see weakness in the Market.  We should HIT my Trading Point at 1037.00 and go down to my Trading Level at 1034.75 where we should find support.  If confirmed we will then be starting a confirmed uptrend.  Stay tuned…

Have a Profitable Day Trading!

This Is The Retracement I Called For On The S and P

Hello everyone,

Sorry for the recent lack of posts.  I am just recovering from the H1N1 (Swine Flu).  Therefore let’s get caught up…As you will see on the chart below we are nearing the retracement I called for over a week and a half ago (Oct. 13th).  Also we have HIT the first of my two Trading Points at 1054.75 and we are closing in on the other at 1031.25 (which actually may end up being 1037.00 on the eMini Futures).  The Trading Level for it to find support would be at 1034.75.  Therefore, watch for the Market to bounce off this Trading Level.  If we can hold this support area and start a renewed uptrend we will have a great middle part of Earnings Season.

Now if you want to make sure you don’t miss an opportunity – like going short the Market on Oct. 13th like I predicted.  Then please sign up for my Free Trading Course (this alone is a great course) and you will also get major Market updates/Alerts via email.  Go here to sign up (just copy and paste this URL into your browser):  http://bit.ly/2G5IF

Have a Profitable Day Trading!