Thursday, August 13, 2009

Slow trading this morning despite the market moving a fair amount.

  • The “Trading RM" oscillator is still on the downtrend line, but was popping a bit today and testing the line. Unless something dramatic happens tomorrow, looking for the more of the same. Trading RM believes being patient is appropriate.
  • “Future(s)” were moving, gapped up like the Oscillator indicated would happen today, then the market sold off, only to rally even harder. Depending on the morning economic news, futures are likely to test the highs seen August 7th, we’ll see how market reacts.
  • “Range” intra-day was the recent moving average with about 14 handles today and including overnight futures it was a little more. Market couldn’t make new highs today, but did close up despite the selling all morning. Until the market breaks the present trading range, 990 to 1012/1016 (which might happen soon) stay nimble.
  • “Going Big” was almost 2:1 weighted with upside percentage when compared to downside which Trading RM did expect in last nights post. This suggests market more continuation to the upside is possible… Market may look hard for a breakout, but be prepared for the morning news to throw a plot twist in the storyline.
  • “Gap DaP” acted exactly how Trading RM posted last night. The gap up, sell-off couldn’t touch lows, so rallied to the high 1012… Futures traders will be setting up for the morning news, this could set the market up for a big day in either direction

Summer Fridays, be nimble.

Good luck and Great Trading.