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 Jim Parker, 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.
No positions
................................................................................................................
Stocks..
GDX...a close above 26.40 should lead to a test of 29.15 and ultimately 32
on this current swing.
Bonds...
30 yr...as long as 135 holds on breaks look for the Bonds to move up in one point increments.
Above the 135.27-136.00 line breakout, look for 136.31-137.04.
TLT...110.01-41 is the next resistance area. 112.30 is the tgt area over 110.40.
FX...
USD/JPY... 99.70-75 is mvg avg resistance ( app 100.45 Futures) and the pivot for another Figure move in the dollar. Continue to sell rallies against this level with a tight stop until proven wrong.
AUD/USD...price action is needed over 92.75 is needed for higher or under 91.50 for lower.
Commodities...
OIL...the August contract expires today. If WTI is going higher to test the tgt level from 2008,?I'm of the opinion, given the WTI/Brent being close to parity with oversold RSI's, that the Brent will have to lead.
All the resting buy stops are in the Brent Oil above 115. Given markets and now computers?drive prices to the most amount of orders, It would be logical for the Brent to do the heavy lifting on any additional run up in prices.
Gold...by maintaining higher on the week 1330-36 is natural first resistance on the way to the high 1380's. Traders should have alerts set @1291 on the downside. This will be the current key hold level on breaks.
Silver...needs a close over 20.10 to gain upside momentum.
General Comments or Valuable Insight
Welcome to this months episode of Full Moon Trading.
This is typically a time when half the world pulls out their Ouija boards
to decide what to invest in next.
I know this sounds irrational to many of you, but the point is Markets can seem?irrational and trend changes often occur because decision making becomes emotional.
We just let the price action dictate our next move.
Will half the world take a page out of the Wizard of Oz playbook and exit current holdings or will they stay the course?
Time frame trading today...Most of the world is on vacation for the next 5 weeks
with markets trading with below normal volumes.
Short Term View...
Summer time trading is here with thin bot driven trading. Many markets are extremely overbought.
Trade instruments off their own technical s
For Glossary of terms and abbreviations click here.