While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Bill Davis, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
GOGO? Long at $19.93
Total Premium Collected? $1.95
ASNA Long at $14.20
Total Premium Collected $.75
DUST Long $4.50
Total Premium Collected? $.70
FCX Long $12.45
Total Premium Collected? $.24
KR Long Jan $30 Call? $1.30
KR Short Jab $33.75 Call? (.25)
DYN Long at $12.55
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Last week, the S & P 500 closed 8.18 points to the upside.? It closed at 2,141.16. On the weekly chart, it formed an inside bar.
This is when the price bar has a lower high and higher low. You want to watch for a violation of either the high or the low. Price should generally continue in the direction of the violation.
Friday also marked the third consecutive day where the S & P 500 closed above the minor 2,140.62 level.? Lower levels should offer support and the objective to the upside should be back to the 2,187.50 level.
Having said that, the 2,152 to 2,155 area should still be resistance.? Pre open, the S & P 500 is trading almost 10 points to the upside, so it could open around 2,150, or just under the technical resistance level.
Clearing the 2,152 to 2,155 area would most certainly be bullish, but a pullback around there would not be unexpected.
Earnings continue this week and we will hear from companies that have the potential to move the overall markets.
This includes Apple who reports tomorrow after the close. And Thursday after the close we hear from Alphabet (GOOGL) and Amazon.
One final comment on the DYN position.? DYN traded above the strike price of $12.50 most of the day on Friday.? However, it dipped slightly to close at $12.47.? So, you should still be holding the stock, assuming you executed the alert. Depending upon how it trades this week, I will send out an alert.
Continue to monitor the levels for entry points.
Here are the Key Levels for the Markets:
$VIX:
Major level - 18.75
Minor level - 17.96
Minor level - 16.41 *
Major level - 15.63 *
Minor level - 14.85
Minor level - 13.28
Major level - 12.50
Minor level - 11.72
The VIX closed at 13.34 on Friday. ?The objective should still be back to 12.50.? The VIX broke under the mid band on the 30 & 60 minute charts.
Watch for a retest of those levels, which are 14.25 to 14.40 area.
14.85 should offer resistance.?
The VIX broke under the 14.60 level on Friday which indicated it should have headed lower.? 12.89 could offer minor support.
$SPX:
Major level - 2,250.00
Minor level - 2,234.38
Minor level - 2,203.12
Major level - 2,187.50
Minor level - 2,171.88
Minor level - 2,140.62 *
Major level - 2,125.00 *
Minor level - 2,109.38
Minor level - 2,078.12
Major level - 2,062.50
The 2,150 to 2,153 area should offer resistance.? If the S & P 500 can clear this level, it should head higher.
With the third close above 2,140.62, 2,187.50 should be the objective. I don?t expect the market to head straight up to that level because the shorter timeframes are still in downtrend formations.
2,156 should offer short term resistance.
QQQ:?
Major level - 121.88
Minor level - 121.10
Minor level - 119.53
Major level - 118.75 *
Minor level - 117.97 *
Minor level - 116.41 *
Major level - 115.63 *
Minor level - 114.84
Minor level - 113.28
Major level - 112.50
The QQQ closed at 118.15 on Friday.? The 117.58 support level held on Friday, with a daily low of 117.41.? Look for 117.80 to offer support.
If the QQQ can clear 118.75, it should move higher.? Two closes above 119.53 and the next objective is 121.88.
TLT:?
Major level - 137.50
Minor level - 136.72
Minor level - 135.16
Major level - 134.38
Minor level - 133.60
Minor level - 132.03 *
Major level - 131.25
Minor level ? 130.46
Minor level ? 128.91
Major level ? 128.13
Objective is still back to a retest of 134.38.? The TLT closed at 133.31 on Friday.
132.03 held as support.? Minor resistance should be at 133.60.? 134.77 could offer resistance.
GLD:
Minor level - 124.22
Minor level ? 122.66
Major level ? 121.88
Minor level ? 121.10
Minor level ? 119.53 *
Major level ? 118.75
Minor level ? 117.97
121.88 should still be the objective.? And it should offer resistance.? 120.31 should offer minor support.
XLE:
Major level - 75.00
Minor level - 74.22
Minor level - 72.66
Major level - 71.88
Minor level - 71.10
Minor level - 69.53 *
Major level - 68.75 *
Minor level - 67.96
Minor level - 66.41
Major level - 65.63
The XLE closed at 70.19 on Friday.? 69.53 should offer support and the objective sh
ould be back to 71.88.
The XLE still remains in uptrend formation on the short term charts, so expect a rally.
FXY:
Major level: 96.88
Minor level: 96.49
Minor level: 95.70
Major level: 95.31
Minor level: 94.92
Minor level: 94.14
Major level: 93.75 *
Minor level: 93.36
Minor level: 92.58 *
Major level: 92.19
Minor level: 91.80
Minor level: 91.02
Major level: 90.63
Support should still be at 92.19 and 92.58.? 92.97 is a minor resistance level and the FXY closed just under it on Friday.? Watch where the FXY opens in relationship to the 92.97 level.? An open above it would be bullish.? Open below and the next move should be bearish.
AAPL:
Major levels for Apple are 118.75, 115.63, 112.50, 106.25, 100, 93.75, and 87.50.
Apple has consolidated for the last week.? And continues to hold just above the 115.63 level.? Continue to buy against support.
WATCH LIST:
Bullish Stocks: GOOGL, NTES, GS, CXO, BA, MA, FANG, SWKS, MSFT, AKAM
Bearish Stocks:? REGN, KMB, CLX, TSCO, CTSH, WTR, RH, CREE
Be sure to check earnings release dates.
