japan
Day Trading Course, S&P 500 retraces after 1070 double bottom
Last week we saw the S&P test into the 1070 area of support before ripping back up over 40 points to close in positive territory for the day. Then over the last few trading days, we have seen the rally continue. Now, this rally is moving into the resistance as it approaches into the 1190 area. From this area we will be looking to see if we will get a signal to short this for a retracement on the downside. Likely into the 1150.00 area, then if the buyers step back into play we could see this move into the 1224.00 area and then possibly on to the 1250.00 area. A weekly cart shows that things could rally as far as 1300.00 if the buyers stay motivated into the long term over the next few months.
Europe keeps pledging to fix this Greek debt thing and it actually seems to keep proping things up somehow. Well for one, Good Luck, and I’m pretty sure that when you continue to dig in a hole, it just getts bigger. But, somehow the banks don’t think so? oh, well. Let’s just focus on the trade and let it come and pay us. This really is a wonderful market to make money in when you can see direction!
I let the trades come to me, I see price and direction. Trade what you see, I’ll see you at the starting line!
Day Trading Course, Markets see HUGE rally into close
The S&P along with most other markets saw a HUGE rally into the close yesterday, climbing up almost 40 points in the closing hour of trading after testing to the 1170 area of support. This amazing reversal was something to look at, so I decided to do a little research on the matter.
It seems that since 1985 yesterday was only the 10th time that the S&P 500 was down 1% or more at 3 O’clock and then went to close the day in positive territory. Of those 10, 8 have been since 2008. Another thing to note is that on 8 of the last 9, the market failed to continue the move into the next day.
So what does this mean for the long term? Not much really, it is doing exactly as we expected. My previous post outlined the testing to the 1170 area of support with a rally likely after doing so. How long this move back up will last is another question. There are still those who feel that we could start to see the seasonal rally, I’m not that optimistic yet. I myself will wait for a move above the 1230 level before I start to consider the going long for the long term. I think it is more likely with all that is going on these days to see the markets slip into a bearish trend possibly into next year. As mentioned in my post yesterday, we could see this move to test the triple digits.
Only time will tell, and the market will do what the market will do. So as I have said before, “I just like to be prepared on either side, and let it pay me whichever way it chooses to go”
Day Trading Course, S&P 500 Daily Price Action
With a mild move down last night the S&P is looking to open today around the 1140.00 area of support. The S&P has reached this area 3 times in the last week, stopping each time on support and turning for a move back up. Continued in this pattern we could look for the move up to touch the 1143.50, 1151.50, 1158.25 and 1161.00 targets. While a move on continued downward pressure could see trading move to 1139.25, 1133.50, 1128.00 and 1120.00 targets. Trade what you see, have a great weekend!
