Mohan 11/03/04
Enviado: 11/3/2004 15:37Today is Rollover Day to the June S&P500 Futures contract. No Headline Call on Rollover days.
Trade Setup Summary for Wednesday, March 10, 2004:
1) Buy 1137.00/ Sell at entry plus 1 point +1.00 (Buy the Buy Pivot as suggested in Morning Call...4 pts. rally then return to entry= Sell at Breakeven.)
2) (12:02est) Buy 1136.50/ Sell 1135.75 (TB 3rd level down ...re-buy) -.75
Total: Break even day.
Recap of Wednesday's Action:
Good Morning and Welcome to Rollover Day.
Today is ROLLOVER Day to the June Futures Contract and you should set up your charts accordingly and any other associated data feed. We will no longer be trading the March contract.
WoW!... We saw the markets trade in about a 10 point range all day with pressure to the downside but at the last hour they really let em have it and down they went almost reaching our lower target of 1115.00 with 1119.50 as the low.
No particular shocking negative news or anything but just seeing the NAZ move below 2000 and the S&P500 move below it's 50 day moving average got everyone selling. Ka Blam.
We recommended buying the early Buy Pivot target as our Headline Call was looking for higher prices. We got a run up from there to 1141.50 where they fell back, the day continued weak and our Headline Call did not pan out.
Trade at the Buy Pivot would have been scratched for +1.00 as the market had run up and stalled.
2nd Entry at the 3rd level down Trailblazer saw similar failure to bounce and was cut at scratch.
After that the market just exhibited heavy characteristics and continued to grind lower.
Due to Contract Rollover we decided to stand aside.
Today's Call & Briefing:
There is no Headine Call for today and no trade recommendations due to contract rollover.
We stand aside from trading on Rollover days due to the tendency for more erratic trading as the contracts are rolled into the new month. This has been a tradition with us since starting our newsletter.
Value Area: 1,129.80 - 1,141.50
Watch for resistance at the bottom of the Value Area today.
An expected reflex rally could take them up to this price and then we would expect to see prices fall back.
Buy Pivot Target: 1,112.75 - 1,113.75
No trade at this pivot today. This price is near the original first goal lower mentioned a few days ago at 1115.00....Well, here we are. Amazing how the markets work sometimes.
Sell Pivot Target: 1,134.75 - 1,133.75
No trade recommendation here at the Sell Pivot Target.
10 Day "Pit Bull" Moving Average: 1,145.90
After Crossing over this Pit Bull a few days ago you can see the powerful results of changing bias on a Crossover. Those who are new subscribers can note this phenomena and watch for the next Crossover to the upside for the reaction.
Pro Trader's Action
No Headline Call or trade recommendations today.
Watch the reaction to the large down move and expect to see prices rebound some today.
Glad to see some volatility coming back into the markets along with range. Good for all of us who trade the S&P500 futures.
Will be ready to go Friday with Re-Set June Contract numbers.
All the best of success. Mohan
Trade Setup Summary for Wednesday, March 10, 2004:
1) Buy 1137.00/ Sell at entry plus 1 point +1.00 (Buy the Buy Pivot as suggested in Morning Call...4 pts. rally then return to entry= Sell at Breakeven.)
2) (12:02est) Buy 1136.50/ Sell 1135.75 (TB 3rd level down ...re-buy) -.75
Total: Break even day.
Recap of Wednesday's Action:
Good Morning and Welcome to Rollover Day.
Today is ROLLOVER Day to the June Futures Contract and you should set up your charts accordingly and any other associated data feed. We will no longer be trading the March contract.
WoW!... We saw the markets trade in about a 10 point range all day with pressure to the downside but at the last hour they really let em have it and down they went almost reaching our lower target of 1115.00 with 1119.50 as the low.
No particular shocking negative news or anything but just seeing the NAZ move below 2000 and the S&P500 move below it's 50 day moving average got everyone selling. Ka Blam.
We recommended buying the early Buy Pivot target as our Headline Call was looking for higher prices. We got a run up from there to 1141.50 where they fell back, the day continued weak and our Headline Call did not pan out.
Trade at the Buy Pivot would have been scratched for +1.00 as the market had run up and stalled.
2nd Entry at the 3rd level down Trailblazer saw similar failure to bounce and was cut at scratch.
After that the market just exhibited heavy characteristics and continued to grind lower.
Due to Contract Rollover we decided to stand aside.
Today's Call & Briefing:
There is no Headine Call for today and no trade recommendations due to contract rollover.
We stand aside from trading on Rollover days due to the tendency for more erratic trading as the contracts are rolled into the new month. This has been a tradition with us since starting our newsletter.
Value Area: 1,129.80 - 1,141.50
Watch for resistance at the bottom of the Value Area today.
An expected reflex rally could take them up to this price and then we would expect to see prices fall back.
Buy Pivot Target: 1,112.75 - 1,113.75
No trade at this pivot today. This price is near the original first goal lower mentioned a few days ago at 1115.00....Well, here we are. Amazing how the markets work sometimes.
Sell Pivot Target: 1,134.75 - 1,133.75
No trade recommendation here at the Sell Pivot Target.
10 Day "Pit Bull" Moving Average: 1,145.90
After Crossing over this Pit Bull a few days ago you can see the powerful results of changing bias on a Crossover. Those who are new subscribers can note this phenomena and watch for the next Crossover to the upside for the reaction.
Pro Trader's Action
No Headline Call or trade recommendations today.
Watch the reaction to the large down move and expect to see prices rebound some today.
Glad to see some volatility coming back into the markets along with range. Good for all of us who trade the S&P500 futures.
Will be ready to go Friday with Re-Set June Contract numbers.
All the best of success. Mohan