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.
Current Positions
LONG USO 17.5 PUT?????????????? ? ? ? ? ? ? ? .39
LONG USO 3/27/15 16 PUT???????????????? .47
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Today's Working Orders
BUY AUD/NZD @ 99.95?
SELL ALL USO Puts on any print below $40/bbl at the Market!
Stocks...
Press the bet in the the Biotech lottery is the best game in town.
DAX...I didn't have a higher tgt than 12,000. We're seeing some profit taking. Let's see if it turns into anything.
Russell...is flirting with new all time highs. Caution should be exercised at 123.77 in the IWM for a potential double top.
Nasd 100...would have to close below 4285 to roll over.
Bonds ...
Bonds...(M) 161.15 is today's resistance level, sustaining above look for close to 163.
FX...
EURO...price action above 106.50? resistance turns the P&F up. Shorts...all you can do is use a trailing stop and let the market take you out.
USD/CHF...101.42 (98.59 Futures) is the level where the Swiss cut the peg with the Euro from.
As Long as the Suisse remains over 99.47 (under 100.53 Futures) it's headed south. Sell any rally to this level with a 25 point stop. This is a the qtrly OR #, it's not insignificant.
Commodities...
OIL... is getting oversold on all time frames, then again the Euro has traded that way for the past 10 cents.
As long as the June contract remains below 44.37 ish I'll stay with the USO trade.
(K) is front month.
Caution needs to be exercised at yesterday's low of 42.85 for a bounce.
Brent...sustained price action back over 53.40 could elicit some short covering. Closing under 52.50 should lead to another run toward the Jan low of 45.19.
General Comments or Valuable Insight
The markets & Bots are playing press the Fed.
Time frame trading today into the Fed tomorrow afternoon.
Biotech has been immune to Bond adjustments. I'd continue to focus your attention here if you're looking for quick pure alpha plays.
Be mindful of the Index rotations which has been favoring small caps over the big multinationals.
Currency land...everything is being bought against the Sterling.
Bonds...it looks as though the appetite for European debt is waning with Dax weakness giving a bids to our treasuries/not the European counterparts. Just something to keep your eye on.
For Medium Term Outlook click here.
For Glossary of terms and abbreviations click here.