While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to a 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.
CURRENT POSITIONS:
GOGO Long at $19.93
Total Premium Collected $1.95
ASNA Long at $14.20
Total Premium Collected $0.75
DUST Long $4.50
Total Premium Collected $0.70
RRC Long at $11.85
Total Premium Collected $0.70
RRC Long at $9.20
RIG Long at $8.81
Premium Collected - $1.45
FEYE Long at $17.18
Total Premium Collected $1.06
ET Long at $11.78
Premium Collected $0.35
DBX Long at $19.70
Premium Collected $0.75
Short May 1st - $20.50 Call @ $0.50
ET Long at $7.50
Premium Collected $0.60
AGNC Long at $13.19
Premium Collected $1.45
MFA Long at $4.20
MFA Short April $5 Call @ $0.40
KEY Long at $10.72
KEY Short April 24th - $11 call @ $0.32
................................................................................
Yesterday, I suggested you sell the May 1st $20.50 call against the DBX position. This brings the premium collected on this position to $1.25 per share.
The S & P 500 ended the day closing 62.75 points higher. And what has become the familiar trend, the market gapped higher at the open.
The gap yesterday was 51.33 points.
And the intraday range ended up being 39.15 points.
But, we were looking for a bounce in the market because of the fact that the 60 minute chart had just crossed into an uptrend.
The other key for yesterday was the minor 2,773.45 level. A close yesterday under this level and the S & P should have continued lower.
To move higher, the market would have to recoup this level.
As it turned out, yesterday's low stopped at 2,775.95. This was 2.50 points above the minor level we were looking at for support.
After holding above minor 2,773.45, the market made a run back to the major 2,812.50 level.
The high for the day was 2,815.10 or 2.60 points above the major level.
Within 10 cents of the difference to the minor level.
The day closed out at 60% of the daily price bar, so the bias is still for the high to be violated before the low.
Pre open, the S & P is trading about 5 points higher. This would project to an open about 10 points below yesterday's high.
So, watch to see if the market can take out the high of 2,815.10.
LRCX reported last night and is trading about $6 lower. XLNX is down about $4 after reporting.
And this morning we hear from DPZ and FCX. INTC and MLNX report this afternoon after the close.
Here are the Key Levels for the Markets:
$VIX:
Major level: 46.88
Minor level: 46.10
Minor level: 44.53 **
Major level: 43.75 <
Minor level: 42.97
Minor level: 41.40 **
Major level: 40.62
Minor level: 39.84
Minor level: 38.28
Major level: 37.50
Minor level: 36.72
Minor level: 35.16
Major level: 34.38
Minor level: 33.60
Minor level: 32.03
The VIX closed at 41.98. The VIX closed 3.43 points lower for the day.
The VIX did break under 44.53 and as expected, it did close under it.
Yesterdays low stopped at 41.41 or one cent above the minor level. At this point, resistance should be at 42.97.
Look for a move to 40.62.
A break under the minor 41.63 level and it should be resistance.
S & P 500:
Minor level: 3,007.85
Major level: 2,968.80
Minor level: 2,929.75
Minor level: 2,851.65
Major level: 2,812.50 <
Minor level: 2,773.45 **
Minor level: 2,695.35
Major level: 2,656.30
Minor level: 2,617.25
Minor level: 2,539.06
Major level: 2,500.00
Minor level: 2,460.95
Minor level: 2,382.85
Major level: 2,304.75
Minor level: 2,226.65
The S & P closed at 2,799.31. The minor 2,773.45 level should still be support.
Watch for a test of 2,812.50. If the S & P can clear this major level, look for support at 2,812.50.
The 60 minute chart remains in an uptrend. And the midband is 2,668 and should be support.
Minor technical support is at 2,803. 2,795 is also a support level from yesterday's daily price bar.
QQQ:
Major level: 218.75
Minor level: 217.19
Minor level: 214.06
Major level: 212.50
Minor level: 210.93 **
Minor level: 207.81
Major level: 206.25
Minor level: 204.69
Minor level: 201.56
Major level: 200.00
Minor level: 198.44
Minor level: 195.31
Major level: 193.75
The QQQ closed at 210.97. The QQQ closed just above the minor 210.93 level.
Watch for the QQQ to hold the minor 210.93 level. If it can't hold this level, then I would expect the market to drop.
Support is at the midband on the 60 minute chart, which is 195.
There is also support around 210.
IWM:
Major level: 175.00
Minor level: 173.44
Minor level: 170.31
Major level: 168.75
Minor level: 167.19
Minor level: 164.06
Major level: 162.50
Minor level: 160.94
Minor level: 157.81
Major level: 156.25
Minor level: 154.69
Minor level: 151.56 **
Major level: 150.00 <
Minor level: 148.44 **
Minor level: 145.31
Major level: 143.75
The IWM closed at 119.17. The lower band should now act as support, which is 111.
The IWM did cross into an uptrend on its 60 minute chart. And the IWM is right at the midband. The midband is 118.08 and the IWM will need to hold this level to head higher.
Support should be around the 116 area.
TLT:
Minor level: 164.85 **
Minor level: 163.28
Major level: 162.50
Minor level: 161.72
Minor level: 160.16
Major level: 159.38
Minor level: 158.60
Minor level: 157.03
Major level: 156.25
Minor level: 155.48
Minor level: 153.91
Major level: 153.13
Minor level: 152.35
The TLT closed at 169.54. The TLT closed just under the upper band on its daily chart, which is 170.38.
Watch this level today. To move higher, the TLT needs to move above the upper band. If it can't, look for lower prices.
This tells us the TLT is overbought and that the upper band will be retested after it closed back inside it.
Support should be around 169. And 173 should be resistance.
GLD:
Major level: 162.50
Minor level: 161.72 **
Minor level: 160.16
Major level: 159.38
Minor level: 158.60
Minor level: 157.03
Major level: 156.25
Minor level: 155.47
Minor level: 153.91
Major level: 153.13
Minor level: 152.35
Minor level: 150.78
Major level: 150.00
The GLD closed at 161.73. The GLD closed one cent above the minor 161.72 level.
Watch the 162.50 level on the upside. If the GLD can clear this level, it should head higher. If not, look for a pullback.
The GLD is approaching the upper band on the daily chart, which is 166.
XLE:
Major level: 56.25
Minor level: 55.47
Minor level: 53.90
Major level: 53.12
Minor level: 52.34
Minor level: 50.78
Major level: 50.00
Minor level: 49.22
Minor level: 47.65
Major level: 46.88
Minor level: 46.09 **
Minor level: 44.53
Major level: 43.75
The XLE closed at 33.46. Watch the lower band.
The lower band is 29.16 and should now be support.
The XLE crossed into an uptrend on the 60 minute chart. The 32 area should offer technical support. A break under it and the XLE should head lower.
AAPL:
Major level: 312.50
Minor level: 309.38
Minor level: 303.13
Major level: 300.00
Minor level: 296.88
Minor level: 290.63
Major level: 287.50
Minor level: 284.38
Minor level: 278.13
Major level: 275.00 <
Minor level: 271.88
Minor level: 265.63
Major level: 262.50 <
Apple closed at 276.10. With a close above the major 175 level, it should now be support.
Apple has crossed into an uptrend on the 60 minute chart. And the 264 area should be technical support.
Minor resistance is around 280. A break above this level and Apple moves higher.
WATCH LIST:
Bullish Stocks: AMZN, GOOGL, TSLA, SHOP, CHTR, NFLX, LMT, HUM, DPZ, ADBE, COST, BDX, NVDA, LRCX, VRTX, RNG, AAPL, BABA, ADSK, WST, COUP, KLAC
Bearish Stocks: GATX, LYV, BDC, LUV, DDS, PRA, CAJ, MLHR, SDS
