Selling,Selling,Selling

They have been selling the market down all day. They have now violated my support at 932.00. Look for the selling to continue down to 920.75-918.75. We left single tics above from 933.25-935.75 so I am Selling rallies until they are taken out.

Gap Higher

We are gapping higher with single tics below. Since we have been range trading we will probably fill in the single tics down below. I have resistance above at 962.25 and support below at 932.00. Still a scalp trade until they get to my prices.

Trading Range

The end of the day was just like the open. We had a rally that they sold into. The rollover is keeping us in a tight range. I am just a scalper right now with no bias until the rollover is finished. Trading small with tight stops.

Choppy

I had resistance this morning at 945.00 that held very well. I also had support at 936.00 that is holding. Today is a scalp trade with no bias to either side. My next support is 930.50 and next resistance is 950.00. Still keeping an eye on the 200 day m.a.'s.

Afternoon Rally

We held the 10 day m.a. at 925.00 coming up just short at 925.50 which was very bullish for the market.  They blew through any resistance that I had at 937.25-939.25 and kept going up to 947.00 and testing friday afternoon highs.  There was some selling up there.  Probably because it was slightly overbought, but overall we high volume in this rally giving the bulls just what they want.  Look to see more big moves this week with rollover in full effect.  

Gap Down on Open

We are leaving an upside gap so far today. Opening range is pretty much the high of the day. I am a seller all day unless we hold the 10 day m.a. at 925.00. I am selling rallies in front of resistance above at 937.25-939.25. My next support is down at 914.75-91275 below the 200 day moving average in the cash (918.27). I will be watching that 200 day very closely to see how it trades down there.

How Rumors Change The Market

With the rumors flying around about numbers in question, I am staying on the outsides.  They already reached one of my support areas at 936.00.  They traded through and then rallied back up with decent volume.  So now I wait to see what they do.  I am still selling rallies because most of the volume is to the downside.  If the market stays in an uptrend I will rethink my approach.  My next big areas are 962.00 to the upside and 927.50 to the downside.  Keep in mind that when I am sellilng rallies, I am selling at short term moving averages and getting out with small profits.  This morning I held shorts because they held my price at 956.50.  But when they hit my downside target(936.00) I am now selling rallies with tight stops and small profits using short term charts.

Unemployment report in question?

There is market chatter than non-farm data was an error.  

Unemployment Rally

The numbers on unemployment are bad but they were better than expectations.  Thats how they start, by making bad numbers look good.  I have 956.50 as an area to hold this morning.  If they get above that I have 962.00.  I am looking to sell short in front of those prices.  To the downside, I have my moving averages all pointing up to get out of shorts and scalp to the long side.  I am not convinced that I should be buying breaks establishing positions.  I am looking to establish most of my positions to the short side unless we violate my upside resistance.  I am looking for the market to trade down to 936.00.  If 962.00 gets violated I believe that you should see a blow off rally to the upside with high volume.  This day will be high volatility so keep your stops a little wider.

Slightly Higher Open

Today I am looking for a choppy day.  Tomorrow is unemployment, so I do not see much happening.  I will be looking to sell rallies this morning leaning on the gap we left yesterday at 942.50 and buying dips leaning on yesterdays low at 922.50.  Basically just being a scalper with no bias. 

Held The 200 Day M.A.

The market showed the shorts that the bull run might not be over.  We attempted to take out the 200 day m.a. in the cash and failed.  The market then took off to the upside getting the shorts out.  We will have to wait and see what tomorrow brings, but I think that the shorts will try to push the market down again knowing we will be in a trading range until the unemployment numbers on friday morning.  

Midday Comments

We have now went through the single tics that I pointed out earlier.  The charts are looking more bearish and selling volume has picked up.  They now look like they want to test the monthly low at 916.50.  The flipside is that the 200 day m.a. in cash(923.27) is still holding, so until that is broken I am cautious on being short down here.  I am doing nothing now until the close.  If the 200 day is still holding going into the close I will turn into a buyer again.

Opening Lower

The ADP numbers were not that appealing to the market this morning.  We are still waiting for the Friday unemployment numbers.  Since there was a little selling on the close yesterday I expect it to continue into today.  Volume is light so stay small.  I am  now looking to sell rallies unless volume picks up or we take out yesterdays high.  Look for early morning support around 931.00 in the futures. If that does not hold look for the market to fill in single tics from 927.00-925.25. 

Light Selling

There was some light selling on the close with no real volume or follow through.  The look remains bullish going into tomorrow unless the overnight trade tells us differently.  The market seems to be very content here on the highs.  Which leads me to believe that we are still going higher.  I am waiting to see if they can shake out more shorts.  I also feel that the trade right now is very tricky and very risky.  Continue to trade small and take little profits until we have some blow off days to get people out on either side of the market.

Holding Opening Range and Settlement

As you can see in the chart below we are still holding opening range at 939.50.  Continue to buy dips at m.a.'s.

Midday Comments

As expected we rallied again.  The market seems to be comfortable in this area.  Look for a late afternoon pop if we continue to hold settlement.  Volatility is low so I am still scalping small positions on the long side.  If they get below opening range (939.50) look for 934.50- 932.25 to be the next test.  

Unchanged opening

No one knows what to do right now.  We are opening unchanged.  The look is still bullish.  Just scalping on the long side until they break the 200 day m.a. or hit 960.00 in the futures.  We are also waiting for the data on US pending home sales to come out at 9:00 cst.

End of Day Nonsense

The day ended with high volatility leaning on the sell side.  Just guys that are doing stuff in the roll and 1st day of month orders.  Everything still points at 960.00 in futures.  We are in bullish limbo until we hit 960.00 or get back below the famous 200 day m.a. in the cash which is now 92688.  Trade small with tight stops.

Slow Grind

The numbers today were better than expected to help boost the market up even higher.  We took out the high of the year in the cash at 94385.  Now we continue to buy dips until they prove us wrong.  I still have an upside target of 96000 in the futures.  Until they hit that number or break back below the 200 day in the cash keep buying dips.  I use my short term charts to determine good buying opportunities.

Crossover Day

Today we are crossing over the 200 day m.a.  So much for being short in the 920's.  The joint venture between citi and morgan stanley changed the day.  If the market stays above the 200 m.a. in the cash we grind up to 96000 in the futures.  Basically keep buying dips.  If they can't hold the m.a. then we should fill in the single tics we left below on Friday from 91625-91375.  Then wait to see if any retest on the 200 day m.a.