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 AUD/JPY ? ? ? ? ?? 92.15 ? ? ? 93.20 ? ? ? 95.58-88
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Stocks...
Spu's...I'll need a close over 1725 to think there is much of any upside.
Nasd 100...3240 will act as the upside closing pivot.
Bonds...
30.yr. Bonds..130.10 is support. 132.30 is resistance
FX...
AUD/USD...94.25 is support and the downside pivot. ( 93.55 DEC.)
USD/JPY... 99.57 is Yen Support having come within ten ticks of it's futures swing count yesterday of 100.30.
EUR/AUD...144.48 is resistance. This is the cross to focus on today for it will run the next wiggle in he Aussie.
Commodities...
Gold...1375 is good resistance to sell rallies against. A close over 1420 is needed to start another move up.
General Comments or Valuable Insight
We focus on the currency crosses to see how and which currency leads direction. I.E. yesterday the Aussie stopped right at resistance confirmed by both the AUD/JPY @ the 200 day?and EUR/AUD @ support.
You had matches in all three at the same time with the straight Aussie turning into an opening range trade to the downside for a 100 points.
When I saw this early A.M. yesterday I took profit in half the AUD/JPY @ the market. In hindsight every time?I don't take all the money in a trade when that happens I give a lot back.
I left some AUD/JPY on because I think cross has some potential going into Month end directional markings.?We'll give it a chance to work.
AUD/USD ...needs to hold in here or it can break to 93.40. Once again, the crosses will be telling.
Short Term View...
It's drying out in the Midwest for the next few days and the gains should remain under pressure while they get in this current crop.
Equities and the currencies need to rest and regroup after the recent 2 day moves.
They could wallow around into qtr end markings giving small wiggles?above and below the aforementioned levels.
Trade what you see in Individual names and don't look for much in the Indices.
Trade of the day...
Sell the 30 yr. Bonds @ 132.28 GTC "Good Till Canceled"
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