Mohan 18/02/04
Enviado: 18/2/2004 13:27Market Force Today: Neutral with a Sell Bias on early price rises. Fast, early moves lower off the open expected to find support and rise towards middle of range (neutral day).
Trade Setup Summary for Tuesday, February 17, 2004:
1) Sell 1155.00-.50/ Cover at even-scratch (11:11-12est...Market flat 1Hr.)
2) Sell 1157.00/ cover 1156.00 Scratch to +1.00 ( 12:20-22est...No range No Pullback
Recap of Tuesday's Action:
Good Morning and welcome to Wednesday's action (we hope after a dead Tuesday).
Our call for Bullish Market Force panned out on Tuesday but with a strong +7 handle gap up off the open. Whew! Haven't seen one of those for a while.
This market is nuts for traders. Not much one can do right now except look for those crystal clear Trailblazer setups and scalp what you can get to make some points.
The range was so tight on Tuesday that our 2 TB setups broke even to slight profits. First TB setup went flat for an hour after the rise up to the Hour One BreakOut at 1155.00 and just chopped around.
We cover when the trade goes nowhere and look for the next level to re-enter same side. Keep the stops tight, especially in these markets. It's all a trader can do at this current time.
Larger scale moves are coming out of left field and so for this purpose we are showing a new style Headline Call to give you a excellent clue of which side of the market to try and stay on. If a clear TrailBlazer setup occurs you gotta go for it...but on a move near the open on the OPPOSITE side of the Market Force look to stay on that side in line with the Headline Market Force for the best deal on scoring S&P500 handles.
You can get mad, blame someone or try to reason it out with these rediculous tight ranges and low volatility but it's better to just face the market we are in and adapt.
With Option expiration coming up Friday we are expecting basically a neutral day today with a sell side bias. Possible harder drop on Thursday but need to see what occurs today first to play off of that for Thursday's action.
Today's Call & Briefing:
As mentioned above we are in a Neutral Market Force today but we have a sell bias. If they crank the market down hard early off the open then look for support to come in and watch em rise to mid range later in the day for a neutral day.
Now, if they get em going higher off the open and we see a rally again that teters with the TRIN rising and NAZ faltering on the rally then we could look for a nice short play. Check out a return to the BreakOut again to fail instead of like yesterday where they hung em up near the highs with the Mega Bullish High Five.
No matter what, we have to trade em. That's what we do. Take the setups and use the correct stops. No guts, No glory. Nothing wrong with standing in neutral but you can't do much there. We are in a high rollers business...plain and simple. You place your bets on the side of the Market Force that is clearest, line up your proven indicators and hope for the best.
Just remember...it's a scalpers market big time right now until further notice. We will see these ranges open up someday, The VIX will rise, and all the other volatility things will become obvious but until we are there we have to survive. That's what we do as S&P500 traders.
Good Luck today...Pray for range and volatility to make some money.
Value Area: 1,153.30 - 1,156.50
Watch for trade that holds up above the Value Area that drops back into the VA to be a sign of weakness. We are in a neutral Market Force today with slight Sell Bias.
Remember, if they hit em hard off the open don't get too bearish...look to get long for a rise into the later session.
Buy Pivot Target: 1,153.00 - 1,154.00
No Trade at this pivot. Ranges are too tight. Watch for support to come in here and lower at (-4.25 stop/pivot) 1148.75.
Sell Pivot Target: 1,159.50 - 1,158.50
No Trade at this target but watch for important formations on our Trailblazer TCF setup up in this area or maybe slightly higher. +4.25 stop/pivot at 1163.75 should hold back the buying if we are correct on the Neutral Market Force.
10 Day "Pit Bull" Moving Average: 1,141.40
Strong support here with the Pit Bull adjusting up with the markets today. The Aberration on the Sell Mode we have been discussing may be wearing thin soon. This would cause a strong pullback and possibly setup the opening of the new down direction again.
Thursday has the best chance of this happening especially if we get the Neutral Day we are expecting today.
Pro Trader's Action
These Neutral Market Force days are a bit trickier to trade then the clear one sided forces. At least as far as getting a larger scale move.
For scalping wise we can only hope that things continue to become more volatile as the election scene heats up some. Could end up being a very boring election type situation and the lack of real enthusiasm could continue to keep the markets trading like they are right now for some time.
We have to be prepared for this and trade the markets the way they need to be traded. We can handle it. Just have to become mighty proficient.
Look to get long if they run em down hard early, otherwise we will be looking to overall stay short on rally attempts.
Try to make it fun today. Life is too short to take the game too seriously everyday. Some days we are stuck with it but trading is a FUN SPORT after all the smoke clears and you realize what you are REALLY doing with this business.
I'll see you in the action...let's hope we get some. Mohan
Trade Setup Summary for Tuesday, February 17, 2004:
1) Sell 1155.00-.50/ Cover at even-scratch (11:11-12est...Market flat 1Hr.)
2) Sell 1157.00/ cover 1156.00 Scratch to +1.00 ( 12:20-22est...No range No Pullback
Recap of Tuesday's Action:
Good Morning and welcome to Wednesday's action (we hope after a dead Tuesday).
Our call for Bullish Market Force panned out on Tuesday but with a strong +7 handle gap up off the open. Whew! Haven't seen one of those for a while.
This market is nuts for traders. Not much one can do right now except look for those crystal clear Trailblazer setups and scalp what you can get to make some points.
The range was so tight on Tuesday that our 2 TB setups broke even to slight profits. First TB setup went flat for an hour after the rise up to the Hour One BreakOut at 1155.00 and just chopped around.
We cover when the trade goes nowhere and look for the next level to re-enter same side. Keep the stops tight, especially in these markets. It's all a trader can do at this current time.
Larger scale moves are coming out of left field and so for this purpose we are showing a new style Headline Call to give you a excellent clue of which side of the market to try and stay on. If a clear TrailBlazer setup occurs you gotta go for it...but on a move near the open on the OPPOSITE side of the Market Force look to stay on that side in line with the Headline Market Force for the best deal on scoring S&P500 handles.
You can get mad, blame someone or try to reason it out with these rediculous tight ranges and low volatility but it's better to just face the market we are in and adapt.
With Option expiration coming up Friday we are expecting basically a neutral day today with a sell side bias. Possible harder drop on Thursday but need to see what occurs today first to play off of that for Thursday's action.
Today's Call & Briefing:
As mentioned above we are in a Neutral Market Force today but we have a sell bias. If they crank the market down hard early off the open then look for support to come in and watch em rise to mid range later in the day for a neutral day.
Now, if they get em going higher off the open and we see a rally again that teters with the TRIN rising and NAZ faltering on the rally then we could look for a nice short play. Check out a return to the BreakOut again to fail instead of like yesterday where they hung em up near the highs with the Mega Bullish High Five.
No matter what, we have to trade em. That's what we do. Take the setups and use the correct stops. No guts, No glory. Nothing wrong with standing in neutral but you can't do much there. We are in a high rollers business...plain and simple. You place your bets on the side of the Market Force that is clearest, line up your proven indicators and hope for the best.
Just remember...it's a scalpers market big time right now until further notice. We will see these ranges open up someday, The VIX will rise, and all the other volatility things will become obvious but until we are there we have to survive. That's what we do as S&P500 traders.
Good Luck today...Pray for range and volatility to make some money.
Value Area: 1,153.30 - 1,156.50
Watch for trade that holds up above the Value Area that drops back into the VA to be a sign of weakness. We are in a neutral Market Force today with slight Sell Bias.
Remember, if they hit em hard off the open don't get too bearish...look to get long for a rise into the later session.
Buy Pivot Target: 1,153.00 - 1,154.00
No Trade at this pivot. Ranges are too tight. Watch for support to come in here and lower at (-4.25 stop/pivot) 1148.75.
Sell Pivot Target: 1,159.50 - 1,158.50
No Trade at this target but watch for important formations on our Trailblazer TCF setup up in this area or maybe slightly higher. +4.25 stop/pivot at 1163.75 should hold back the buying if we are correct on the Neutral Market Force.
10 Day "Pit Bull" Moving Average: 1,141.40
Strong support here with the Pit Bull adjusting up with the markets today. The Aberration on the Sell Mode we have been discussing may be wearing thin soon. This would cause a strong pullback and possibly setup the opening of the new down direction again.
Thursday has the best chance of this happening especially if we get the Neutral Day we are expecting today.
Pro Trader's Action
These Neutral Market Force days are a bit trickier to trade then the clear one sided forces. At least as far as getting a larger scale move.
For scalping wise we can only hope that things continue to become more volatile as the election scene heats up some. Could end up being a very boring election type situation and the lack of real enthusiasm could continue to keep the markets trading like they are right now for some time.
We have to be prepared for this and trade the markets the way they need to be traded. We can handle it. Just have to become mighty proficient.
Look to get long if they run em down hard early, otherwise we will be looking to overall stay short on rally attempts.
Try to make it fun today. Life is too short to take the game too seriously everyday. Some days we are stuck with it but trading is a FUN SPORT after all the smoke clears and you realize what you are REALLY doing with this business.
I'll see you in the action...let's hope we get some. Mohan