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
ET Long at $7.50
Premium Collected $0.60
MFA Long at $4.20
Premium Collected $0.95
DXC Long at $15.50
Premium Collected $1.20
CTXS Long Aug 21st - $140.00 Call @ $4.50
CTXS Short Aug 21st - $145.00 Call @ $2.20
HOG Long Sept 4th - $26.00 Call @ $1.70
HOG Short Sept 4th - $29.50 Call @ $0.45
................................................................................
The S & P 500 managed to close 2.12 points higher on Friday. The market closed at 3,351.28.
The low for the day managed to stop at 3,328.72 or about 8 points above the minor 3,320.25 level, which I mentioned should be support.
And the Friday daily bar closed at 95% of the range of the daily bar. This does suggest that Friday's high of 3,352.54 should be violated before the low.
The support area from Friday's daily bar should be in the 3,340 to 3,345 area.
Friday's range was only 23.82 points. This was 58% of the daily average true range, which is 41.16 points.
The weekly price bar closed 80.16 points higher. The weekly bar closed at 98.1% of the range of the weekly bar.
So, this suggests the weekly high will be violated before the low.
The weekly high was 3,352.54 and the low was 3,284.53.
The weekly range was only 68.01 points, which was about the range from the prior week.
This was also less than 50% of the weekly average true range.
Last week was the 7th consecutive week where the weekly range was then the weekly average true range.
The support area from last week is in the 3,318 to 3,320 area.
Pre open, the S & P is trading about 3 points higher. Assuming this trading holds up until the open, the market should open about 2 points above Friday's high.
Watch for support at Friday's high and close on a pullback.
Earnings are slowing down. This week we get earnings from CSCO and LYFT on Wednesday, after the close.
BABA and NTES report Thursday, before the open.
And BIDU reports Thursday after the close.
The support area from the July monthly price bar is in the 3,188 to 3,190 area.
Here are the Key Levels for the Markets:
$VIX:
Minor level: 32.03
Major level: 31.25
Minor level: 30.47
Minor level: 28.91
Major level: 28.13
Minor level: 27.35
Minor level: 25.78
Major level: 25.00 Midband
Minor level: 24.22
Minor level: 22.66 **
Major level: 21.88 < HIT
Minor level: 21.10 **
Minor level: 19.53
Major level: 18.75
The VIX closed at 22.21. The VIX closed .44 points lower for the day.
The low Friday for the VIX was 22.02, which put the VIX 14 cents above the21.88 objective.
Watch to see if this level holds as support.
The VIX is now breaking under the midband. Look for resistance at the 25 level, which is also the midband.
To move lower, the VIX will need two closes under 21.10. Technical resistance is around 23.
S & P 500:
Major level: 3,437.40 < TARGET
Minor level: 3,398.35
Minor level: 3,320.25 **
Major level: 3,281.20
Minor level: 3,242.15
Minor level: 3,164.00
Major level: 3,125.00
Minor level: 3,085.95
Minor level: 3,007.85
Major level: 2,968.80
Minor level: 2,929.75
Minor level: 2,851.65
The S & P closed at 3,351.28. The target for the S & P should be up to 3,437.20.
And the minor 3,320.25 level should be support. Minor resistance is at 3,359. Watch to see if the S & P can clear 3,359.
Technical support is around 3,335.
QQQ:
Major level: 281.25
Minor level: 279.69
Minor level: 276.56 **
Major level: 275.00 HIT
Minor level: 273.44
Minor level: 270.31
Major level: 268.75
Minor level: 267.18
Minor level: 264.05
Major level: 262.50
Minor level: 260.93
Minor level: 257.80
Major level: 256.25
Minor level: 254.69
The QQQ closed at 271.47. The QQQ went to within 12 cents of the 275 objective.
The key now will be to see if the QQQ can clear 275 and the upper band, which is 276.58.
If it can't, it should pull back.
273.44 should be support, along with 268.75.
Support is in the 266 area.
IWM:
Major level: 162.50
Minor level: 160.94
Minor level: 157.81
Major level: 156.25 HIT
Minor level: 154.70
Minor level: 151.56
Major level: 150.00
Minor level: 148.44
Minor level: 145.31
Major level: 143.75
Minor level: 142.19
Minor level: 139.06
Major level: 137.50
Minor level: 135.94
The IWM closed at 156.17. Friday's high was exactly 156.25. Therefore, the target was hit.
151.56 should be support. And 154.70 as well.
And support should be at the midband, which is 145.87.
The IWM is at the upper band on the 60 minute chart, which is 156.11. Short term the IWM is overbought a pullback should be coming.
TLT:
Major level: 171.88
Minor level: 171.10 **
Minor level: 169.53
Major level: 168.75
Minor level: 167.97
Minor level: 166.41
Major level: 165.63
Minor level: 164.85
Minor level: 163.28
Major level: 162.50
Minor level: 161.72
Minor level: 160.16
The TLT closed at 169.88, closing 1.14 lower. Watch the minor 171.10 level today. If the TLT can clear this level it should head higher. A close today under 171.10 and the TLT should drop to 168.75.
Watch to see if the TLT breaks above 171.88. If it does, it should go higher.
169.63 should now be support. The 171 area is technical resistance.
GLD:
Minor level: 194.54
Major level: 193.76
Minor level: 192.98
Minor level: 191.41
Major level: 190.63 <
Minor level: 189.85
Minor level: 188.28
Major level: 187.50
Minor level: 186.72
Minor level: 185.16
Major level: 184.38
Minor level: 183.60
Minor level: 182.03
Major level: 181.25
The GLD closed at 190.81. The GLD closed 3.08 lower on the day.
The GLD is now overbought and a pullback is possible. And is pulling back as expected.
The upper band is now 184.01. And the GLD continues to trade well above it.
It should be support until a close under the upper band.
The 192 area should offer resistance.
XLE:
Minor level: 44.53
Major level: 43.75
Minor level: 42.97
Minor level: 41.41
Major level: 40.63
Minor level: 39.83
Minor level: 38.28 **
Major level: 37.50 Target - HIT
Minor level: 36.72 **
Minor level: 35.15
Major level: 34.37
Minor level: 33.59
Minor level: 32.03
Major level: 31.25
The XLE closed at 37.18. Watch to see if it can clear 37.50. If it can, it should head higher.
The 36 area could offer support. And watch the 37.40 area. This should be resistance, so if the XLE cannot clear this level, it would pull back. Look for a move above 37.40.
The XLE needs to clear 37.25 to move higher.
AAPL:
Major level: 400.00
Minor level: 396.88
Minor level: 390.63
Major level: 387.50
Minor level: 384.38
Minor level: 378.13 **
Major level: 375.00 <
Minor level: 371.88
Minor level: 365.63
Major level: 362.50
Minor level: 359.38
Minor level: 353.13
Major level: 350.00
Minor level: 346.88
Apple closed at 444.45. Apple closed another $10.34 lower Friday.
Apple closed above the upper band on the daily chart. The upper band is 429.04. This should be support now.
Apple sold off from above the upper band on the 60 minute chart. The upper band is 452.71. And should now be resistance.
WATCH LIST:
Bullish Stocks: AMZN, CHTRM NTES, NVDA, AAPL, ROP, DXCM, HUM, COST, MA, W INTU, WST, HD, FB, BABA, KLSC, CMI, PYPL, ITW
Bearish Stocks: STZ, CDW, BAX, HAE, RL, VLO, BX, HQY, MU, WDC, HFC, FL, CLR
