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Archived S & P Daily Reports THERE IS RISK OF LOSS IN ALL TRADING. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. ALL RESULTS ARE HYPOTHETICAL. THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS ACHIEVED BY ANY PARTICULAR TRADING PROGRAM.
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The
week in review -
5/06/02 -
5/10/02
The Tech Guru's S & P Day
Trading Recommendations
A TECHNICAL GUIDE FOR DAY
TRADING THE S & P
S
& P - For Monday 05-06-02 : NOTE: After
each support and resistance listed will designate a value - (very
major) holds the highest importance, then (major), (very significant),
and (significant) is the least of value. Very
aggressive trades - are trades that are against the
trend or a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside a buy
area.
Special
instructions for using stops - All stops
listed are for the day session only. Where stops ARE NOT
mentioned, they should be placed below the second support area
listed or above the second resistance area listed, or 22
points from the (trade entry point), whichever is the lesser
amount. NOTE: The first
support area becomes the resistance after the market trades
through the second support area listed. The first
resistance area becomes the support after the market trades
through the second resistance area listed.
Resistance:
1075 day channels also 1075.50 and 1076.50 intra-day channels (major
area) / 1077.30 and 1078.90 intra-day peaks (major
areas) / 1082 and 1082.50 day channels also 1083 day top (major
area) / 1084.60 day gap and 1085 GBX channel (major
area) / 1086 and 1087 minor channels
also 1088.50 GBX top and 1088.80 minor channel (very
major area) / 1091.80 weekly top (major)
/ 1097 day top (major) / 1103.30 closing price and
1103.50 minor channel / 1107.50 weekly channel
also 1109.50 day top and 1110 major day channel (very
major area) / 1112.50 day top
and 1113.30 GBX top also 1113.50 minor weekly channel (very
major area) / 1116 and 1120.50 minor channels (major
area).
Support:
1070.50 minor channel and 1069 bottom (major areas) /
1067 primary weekly channel / 1066.50 primary
day channel and 1065 day bottom (very
major area) / 1063.50 weekly bottom (major)
/ 1060.70 monthly close and 1060.50 weekly down
channel (very major area)
/ 1054.60 monthly and 1053.50 weekly bottom also
1053.20 GBX bottom (very major
area) / 1050.10 monthly close on the daily chart (very
major) / 1043.70 monthly close on the monthly chart and 1040
weekly down channel (very major) / 1036.50 day bottom
to 1028.50 day gap (major area).
Comments:
The market close on Friday practically unchanged
from the previous Friday's close leaving the chart in
neutral to bearish condition, between the 1086 and 1067 neutral area.
A trade above the 1086 - 1088.50 area can bring some bullishness to
the technical chart but only a trade above 1110 - 1113 area can bring
any solid bullishness back to the weekly chart. A trade below
1067 is bearish and a trade below 1060.50 will confirm the
downtrend intact for lower prices to follow. Remain bearish
until the market can prove otherwise.
Day trades: For
the June contract -
Aggressive traders can sell rallies near 1075 for
obj. near 1071 to complete the trade. NOTE:
If rallies continue before this
trade is complete, then follow the next aggressive trade and exit both
short positions at the obj. or stop listed in that trade.
(Conservative traders can use a protective buy stop at 1079. Do
not rev. long).
Aggressive traders can sell near 1082 - 1084 area and
if possible near 1086 for obj. near 1079 - 1078 area and possibly near
1076. (Use a buy stop and rev. long at 1092).
Buy stop at 1092 for obj. near 1097 top area and
possibly near 1099 - 1101 area.
Sell stop at 1070 for obj. near 1067 and possibly
near 1066.50 - 1065 area.
Sell stop at 1059 for obj. near 1055 and possibly
near 1053.50 - 1051 area.
Sell stop at 1048.80 for obj. near 1045 - 1043.70
area and possibly near 1040.
Long-term short positions can now use a protective
buy stop at 1159.50.
Bulletin - (Originally sent 5/06/02 10:37 am et)
Because of the whiplashing that developed in the morning action, it
met the objective of the first trade with the sell at 1075 for the obj.
of 1071, but also hit the sell stop at 1070. At this time, the
whiplashing action leaves the chart technically bearish but puts
the 1070 sell stop in a very defensive position. It would be wise
for traders to exit the 1070 short position between 1071 and 1069 just
to eliminate the stress of the trade. Rallies up near the 1082 -
1084 area is still considered a good selling area. Trades below
the 1062 - 1060.70 will be considered a technical failure for lower
prices, therefore the 1059 sell stop will be considered a good
potential trade.
Results: 5/06/02
A TECHNICAL GUIDE FOR DAY TRADING
THE S & P
S & P - For Tuesday
05-07-02 : NOTE: After
each support and resistance listed will designate a value - (very major)
holds the highest importance, then (major), (very significant), and
(significant) is the least of value. Very
aggressive trades - are trades that are against the trend or
a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside a buy
area.
Special
instructions for using stops - All stops listed are
for the day session only. Where stops ARE NOT mentioned, they should
be placed below the second support area listed or above
the second resistance area listed, or 22 points from the (trade entry
point), whichever is the lesser amount. NOTE: The
first support area becomes the resistance after the market trades
through the second support area listed. The first
resistance area becomes the support after the market trades through the second
resistance area listed.
Resistance:
1059 intra-day channel and 1060.20 peak (major area) /
1065.70 and 1066.30 peaks (major area) / 1067.90
peak and 1068.50 day channel (very
major area) / 1073.20 peak and 1076.30 day top (major
area) / 1077.50 and 1078.50 day channel
(very major area) / 1081 and
1083 minor channels also 1084 minor channel (major area) /
1087.50 minor channel and 1088.50 GBX top (major area) /
1091.80 weekly top (major) / 1097 day top (major)
/ 1101 minor day channel (very
major).
Support:
1050.10 day bottom and monthly close on the daily
chart (very major) / 1044.50
down channel and 1043.70 monthly close on the monthly chart (very
major area) / 1040 weekly down channel
(very major) / 1036.50 day
bottom to 1028.50 day gap (major area) / 1020.50 closing
price (major area) / 1008.70 day bottom (major)
/ 999.50 to 987.50 weekly exhaustion gap (very major area).
Comments:
The sell-off on Monday brought prices down to the 1050.10
monthly closing price, which is one of the last very major support area
found on the daily chart. A failure below 1050.10 and 1043.70 monthly
close can stimulate further selling pressure that can bring prices down well
below the 1000 level and eventually down to the 818 area, which has
been the long-term protective for this move. A trade today above
1068.50 is slightly bullish but only a trade above 1078 and again above
the 1088.50 area can bring any solid bullishness back to the chart.
Rallies are possible from this 1050.10 major support area but traders should
continue to sell the rallies and remaining bearish until the market can
prove otherwise. NOTE:
The 818 area is the long-term 50% retracement area that can materialize
sooner then some might think.
Day trades: For the June
contract -
Aggressive traders can sell rallies near 1057 - 1059 area
for obj. near 1053.50 - 1052 area. (Use a protective buy stop at
1062.70. Do not rev. long).
Aggressive traders can consider short positions near 1065 -
1068 area, if it gets there, for obj. near 1060.50 - 1059 area.
(Use a protective buy stop at 1073.50. Do not rev. long).
Sell stop at 1048.80 for obj. near 1044.50 - 1043.70 area,
and possibly near 1040.
Sell stop at 1038.80 for obj. near 1033.50 and possibly
near 1028.50 gap area.
Sell stop at 1025.50 for obj. near 1021.50 - 1020.50 area.
Sell stop at 1017.50 for obj. near 1011 - 1008.70 area.
Long-term short positions can move the protective buy stop
down to 1153. NOTE: Short
positions can eventually expect to see prices down near the 818 area, where
the trade will exit and take profits.
Results: 5/07/02
A TECHNICAL GUIDE FOR DAY
TRADING THE S & P
S & P - For Wednesday
05-08-02 : NOTE: After
each support and resistance listed will designate a value - (very major)
holds the highest importance, then (major), (very significant), and
(significant) is the least of value. Very
aggressive trades - are trades that are against the trend
or a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside a buy
area.
Special
instructions for using stops - All stops listed
are for the day session only. Where stops ARE NOT mentioned, they
should be placed below the second support area listed or above
the second resistance area listed, or 22 points from the (trade entry
point), whichever is the lesser amount. NOTE: The
first support area becomes the resistance after the market
trades through the second support area listed. The
first resistance area becomes the support after the market trades
through the second resistance area listed.
Resistance:
1053 GBX channel (significant) / 1055 intra-day channel and 1057.80
intra-day peak (major area) / 1059 day top (major)
/ 1061.80 intra-day channel, 1062.50 day channel and
1064 minor channel (very major area)
/ 1072.50 major day channel and 1073 weekly closing
price also 1075.50 GBX channel (very
major area) / 1079.50 minor channel (major)
/ 1083 to 1084.60 day gap and 1086 minor channel
(very major area) / 1088.50
GBX top (significant) / 1091.80 weekly top (major).
Support:
1045.80 bottom and 1043.70 monthly closing price on
the monthly chart (very major area)
/ 1041 daily down channel and 1040 weekly down channel
(very major area) / 1036.50
day bottom and 1033.50 GBX bottom to 1028.50 day gap (major area)
/ 1028.80 weekly bottom (very
major) / 1020.50 closing price (major) /
1008.70 day bottom (major) / 999.50
to 987.50 exhaustion gap on the daily chart also 991.50 weekly bottom
(very major area).
Comments:
The sell-off on Tuesday brought prices down near the
1043.70 monthly closing price, which is a very major support level.
The oversold condition and this major support can stimulate some rallies but
only a trade above 1075.50 and 1079.50 can bring any solid bullishness back
to the chart. Rallies up near the 1062 - 1064 area can be considered a
selling area. A trade below 1040 today can bring prices down near the 1028.50
gap area and possibly lower. NOTE:
Even though rallies are now possible
from this support area, long positions will not be recommended because of
the bearish conditions overall. Remain defensive in this supportive
area. It is one of those days for conservative traders to step aside
and wait for solid signals to develop.
Day trades: For the June
contract -
Aggressive traders can sell rallies near 1059 - 1062 area
and if possible near 1064 for obj. near 1055.50 and possibly near 1053.
(Use a protective buy stop at 1067. Do not rev. long).
Aggressive traders can attempt short positions near 1071 -
1072.50 and if possible near 1073 for obj. near 1066 and possibly near 1064.
(Use a protective buy stop at 1077.70. Do not rev. long).
Sell stop at 1038.80 for obj. near 1034.50 and possibly
near 1033.50 - 1028.50 gap area.
Sell stop at 1025.50 for obj. near 1021.50 - 1020.50 area.
Sell stop at 1017.50 for obj. near 1011 - 1008.70 area.
NOTE: Very
aggressive traders can attempt long positions above the resistance
areas listed but because of the overall bearish conditions long positions
will not be recommended today.
Long-term short positions can continue to use a protective
buy stop at 1153.
Bulletin - Originally sent 5/08/02 (11:18 am et) The rally today brought prices up to a very critical resistance area between 1074 and 1079.50. The short position taken is working a buy stop at 1077.70 that looks a little too close for the chart formation that has developed. It is recommended to move the protective buy stops from 1077.70 up to 1080.50, which is just above the major channel at 1079.50. The trade will risk a little more than expected but it seems better to get the stop out of reach and hopefully reach the obj.
Bulletin -
Originally sent 5/08/02 (3:05 pm et)
Considering the position of the chart formation after the rally today it is possible for some retracements to develop. Aggressive traders can attempt short positions near the 1084 - 1086 area for obj. near 1076 - 1073 area and possibly near 1070. (Use a protective buy stop at 1092. Do not rev. long) Results: 5/08/02
A TECHNICAL GUIDE FOR DAY TRADING
THE S & P
S & P - For Thursday
05/09/02 :
NOTE: After
each support and resistance listed will designate a value - (very
major) holds the highest importance, then (major), (very
significant), and (significant) is the least of value. Very
aggressive trades - are trades that are against the
trend or a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside a buy
area.
Special
instructions for using stops - All stops listed are for the
day session only. Where stops ARE NOT mentioned, they should
be placed below the second support area listed or above
the second resistance area listed, or 22 points from the (trade
entry point), whichever is the lesser amount. NOTE: The
first support area becomes the resistance after the
market trades through the second support area
listed. The first resistance area becomes the support
after the market trades through the second resistance area
listed.
Resistance:
1086.50 newly developed channel (major) / 1089.70
minor channel and 1089.90 top (major area) / 1091.80
weekly top (major) / 1096 minor channel and 1097 day
top (major area) / 1104.50
major day channel (very major
area) / 1107 weekly channel /
1109.50 day top (very major area)
/ 1111 day channel and 1113.50 minor weekly
channel (very major area)
/ 1117.50 channel (major) / 1122 weekly top to
1126.70 weekly gap (major area) / 1128
long-term primary day channel (very
major).
Support:
1081 intra-day base and 1079.70 base (major area) /
1074.20 base (major) / 1071 and 1070.50 base (major)
/ 1066 day bottom (major) / 1059
rev. peak (very major area)
/ 1054.40 GBX base and 1051.40 GBX bottom (major area)
/ 1047.40 day gap and 1046.50 primary day
channel (very major area)
/ 1045.80 day bottom and 1043.70 monthly close
(very major) / 1040
weekly down channel (very major)
/ 1036.50 bottom to 1028.50 day gap (major area).
Comments:
The rally on Wednesday was a little higher then
expected but nevertheless put the chart back into neutral territory
and up near last week's top. Technically, the overbought
condition can stimulate selling pressure. A trade above 1091.80
weekly top can bring prices up near the 1104.50 major resistance,
which can put a lid on the overbought condition and bring a
selling opportunity into view. Overall the major trend remains
down and only a trade above 1128 can reverse the momentum and only a
trade above 1153 can possibly reverse the major trend up. NOTE:
Traders can attempt selling in
this overbought area but remain defensive because the neutral
condition can stimulate whiplashing to both sides before a direction
is seen.
Day trades: For the June
contract -
Aggressive traders can sell rallies near 1086.50
- 1089 area for obj. near 1082 - 1080 area. (Use a buy stop and
rev. long at 1093). (Use a sell stop and rev. short at 1078.50).
NOTE: Daily
position traders can hold short positions for obj. near 1066 or exit
at market on close.
Aggressive traders can attempt short positions near
1102 - 1104 area if it gets there for obj. near 1095 - 1093 area.
(Use a protective buy stop at 1105.20. Do not rev. long).
Buy stop at 1093 for obj. near 1097 - 1100 area and
possibly near 1104.
Sell stop at 1078.50 for obj. near 1074.50 - 1071.50
area.
Sell stop at 1070 for obj. near 1066 - 1064 area and
possibly near 1062.
Sell stop at 1056 for obj. near 1052 and possibly
near 1047.40 gap area.
Sell stop at 1038.80 for obj. near 1034.50 and
possibly near 1028.50 gap area.
NOTE: Daily
position traders can attempt holding short positions taken
today for obj. near 1066 or exit at market on close.
Long-term short positions can continue to use a
protective buy stop at 1153.
Bulletin - Originally sent 5/09/02 (9:41 am et)
The a.m. chart formation appears
bearish and might not give traders a chance to sell rallies near
the 1086.50 - 1089 area. Very Aggressive traders can
attempt short positions by selling near the 1084 - 1083 area.
The first obj. is near 1074.50 - 1071.50 and possibly down near
the 1066 area. (Continue to use a buy stop and rev.
long at 1093).
Results: 5/09/02
A TECHNICAL GUIDE FOR DAY
TRADING THE S & P
S
& P - For Friday 05-10-02 : NOTE: After
each support and resistance listed will designate a value - (very major)
holds the highest importance, then (major), (very significant), and
(significant) is the least of value. Very
aggressive trades - are trades that are against the
trend or a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside a buy
area.
Special
instructions for using stops - All stops listed
are for the day session only. Where stops ARE NOT mentioned, they
should be placed below the second support area listed or above
the second resistance area listed, or 22 points from the (trade entry
point), whichever is the lesser amount. NOTE: The
first support area becomes the resistance after the market
trades through the second support area listed. The
first resistance area becomes the support after the market trades
through the second resistance area listed.
Resistance:
1076 intra-day (significant) / 1077.50 intra-day channels and 1078.20
peak also 1078.50 intra-day gap and 1079 intra-day channel and gap (major
area) / 1081.80 peak (significant) / 1083.20
peak and 1083.50 minor day channel (very
major area) / 1086.50 day gap and
1087 GBX channel (very major area)
/ 1089.90 day top and 1090 GBX top also 1091.80
weekly top (very major area)
/ 1094 minor channel and 1097 day top (major area)
/ 1102.50 major day channel (very
major) / 1107 weekly channel
(very major) / 1109.50 day
top and 1110 day channel (major area) / 1112.50 day top
and 1113.30 GBX top also 1113.50 minor weekly channel (very
major area) / 1116 minor day channel (major).
Support:
1070.50 and 1069.50 intra-day base (major area) / 1066
day bottom and 1064 GBX channel (very
major area) / 1059 rev. peak (major area)
/ 1054.40 GBX intra-day base (major area) / 1051.40 GBX
bottom (major) / 1047.50
long-term primary day channel and 1047.40 day gap also 1045.80 bottom
(very major area) / 1040
weekly down channel (very major)
/ 1036.50 to 1028.50 day gap (major area).
Comments:
The sell-off on Thursday from the major resistance
and overbought condition proved to develop as expected leaving
the chart in neutral to slightly bearish condition. The neutral
condition can still stimulate rallies but should be considered a selling
opportunity. A trade above the 1083.50 - 1087 area is slightly
bullish and a trade above the 1091.80 weekly top can possibly bring
higher prices but only a trade above the 1102.50 and again above 1107
can bring any solid bullishness back to the chart. Remain
defensively bearish in this neutral area. A trade below the 1066
bottom and 1064 support area will put the chart in bearish territory
again. A trade below the 1054.40 - 1051.40 area will confirm lower
prices to follow.
Day trades: For the
June contract -
Aggressive traders can sell rallies near 1077 - 1079
area and if possible near 1081 for obj. near 1071 and possibly near
1069.50. (Use a buy stop and rev. long at 1093).
(Conservative traders can use a protective buy stop at 1087.50. Do
not rev. long).
Aggressive traders can attempt short positions near
1100 - 1102 area, if it gets there, for obj. near 1095 - 1093 area
and possibly near 1091. (Use a buy stop and rev. long at 1103.70).
Buy stop at 1093 for obj. near 1096 - 1097 area and if
possible near 1100 - 1102 area.
Buy stop at 1103.70 for obj. near 1107 and possibly
near 1109 - 1110 area.
Sell stop at 1068.80 for obj. near 1066 - 1064 area.
Sell stop at 1062 for obj. near 1059 and possibly near
1057.
Sell stop at 1054 for obj. near 1051 and possibly near
1049.
Sell stop at 1044 for obj. near 1040 and possibly near
1036.50 area.
Long-term short positions can continue to use a
protective buy stop at 1153.
Bulletin - Originally sent 5/10/02 (10:03 am eastern time)
The opening price today at 1076.50 is considered
near enough for the sell to have been executed. Now that the objective
is met at 1071, the trade is complete. The reason for this bulletin is
to bring out the fact of the significance of the 1079 and 1083.50 resistance
area. Usually trades should not be repeated but in this situation the
resistance is that significant that rallies to the 1079 - 1083 area can
still be considered a sell. Continue to use a buy stop and rev. long
at 1092.70. (Conservative traders can use a protective buy stop at
1087.50).
Results: 5/10/02
The
week in review -
5/13/02 -
5/17/02
The Tech Guru's S & P Day
Trading Recommendations
A TECHNICAL GUIDE FOR
DAY TRADING THE S & P
S
& P - For Monday 05/13/02 :
NOTE: After
each support and resistance listed will designate a
value - (very major) holds the highest importance, then
(major), (very significant), and (significant) is the
least of value. Very
aggressive trades - are trades that are
against the trend or a high dollar risk when wide stops
are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell
stop inside a buy area.
Special
instructions for using stops - All
stops listed are for the day session only. Where
stops ARE NOT mentioned, they should be placed below
the second support area listed or above the
second resistance area listed, or 22 points from the (trade
entry point), whichever is the lesser amount. NOTE: The
first support area becomes the resistance
after the market trades through the second
support area listed. The first resistance
area becomes the support after the market trades
through the second resistance area
listed.
Resistance:
1059.50 intra-day channel (major)
/ 1062.50 intra-day channel and 1065 peak (major
area) / 1067 day channel and 1068.50
peak also 1069.50 GBX channel (major
area) / 1072.50
weekly channel (very
major) / 1076.50 day top and
1079.50 GBX top also 1080 day channel (major
area) / 1084 GBX channel and 1086.50
day gap (major area) / 1089.90
weekly top and 1090 GBX top also 1091 minor
channel and 1091.80 weekly top (very
major area) / 1097
weekly channel and 1100.50 major day channel
(very major area).
Support:
1052.50 day bottom and 1051.40 GBX bottom (major
area) / 1048 primary day channel and
1047.40 closing price and gap (major
area) / 1045.80
weekly bottom and 1043.70 monthly closing price
(very major area)
/ 1036.50 bottom to 1028.50 day gap (major
area) / 1020.50 closing price (major)
/ 1008.70 day bottom (major) / 999.50
to 987.50 weekly exhaustion gap (very
major area).
Comments:
The sell-off and close on
Friday put the chart back into bearish territory
and but still faces the 1048 and 1043.70 major
support area. A trade below 1043.70 will
confirm lower prices to follow. Rallies
from this support area are still possible but
should be considered a selling opportunity.
A trade above the 1067 and 1072.50 areas can
bring prices up near the 1090 area again but
only a trade above the 1097 - 1100.50 area can
bring any bullishness back to the chart.
Remain bearish until the market can prove
otherwise.
Day
trades: For the June contract -
Aggressive
traders can sell rallies
near 1059 - 1059.50 area for obj. near 1055 -
1054 area. (Use a protective buy stop near
1061. Do not rev. long).
Aggressive traders can sell
rallies near 1062.50 - 1065 area and if possible
near 1067 for obj. near 1056 - 1054 area
and possibly near 1048. (Use a protective
buy stop at 1073.70. Do not rev. long)
Aggressive traders can attempt short
positions near 1080 - 1084 area, if it
gets there, for obj. near 1076 and possibly near
1073. (Use a buy stop and rev. long at
1093).
Buy stop at 1093 for obj. near
1097 and possibly near 1100.
Sell stop at 1043 for obj. near
1036.50 and possibly near 1033 - 1028.50 gap
area.
Sell stop at 1025.50 for obj.
near 1021.50 - 1020.50 area.
Long-term short positions can
continue to use a protective buy stop at 1153.
Bulletin - Originally sent 5/13/02 (9:52 am et) Since the first trade's obj. was met at the 1054 area, it might be a wise decision to wait for rallies near the 1062 area before attempting short positions again. Follow the second trade recommendation if the market can show the strength to get there. Bulletin - Originally sent 5/13/02 (12:22 pm et) The
market reached a high today at
1072.30, which is the very major
resistance on the weekly chart.
This area is considered a selling
opportunity. For a low risk
trade, it is recommended to attempt
short positions at the 1070 -
1072.50 area for obj. near 1062 and
possibly near 1059. (Continue
to use a protective buy stop at
1073.70. Do not rev. long).
Results:
5/13/02
S & P - For Tuesday
5-14-02 : NOTE: After
each support and resistance listed will designate a value - (very
major) holds the highest importance, then (major), (very
significant), and (significant) is the least of value. Very
aggressive trades - are trades that are against the
trend or a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside a buy
area.
Special
instructions for using stops - All stops
listed are for the day session only. Where stops ARE NOT
mentioned, they should be placed below the second support
area listed or above the second resistance area
listed, or 22 points from the (trade entry point),
whichever is the lesser amount. NOTE: The
first support area becomes the resistance after the
market trades through the second support area
listed. The first resistance area becomes the support
after the market trades through the second resistance area
listed, etc.
Resistance:
1076.50 day top and 1077 minor day channel (major)
/ 1081 day channel
including GBX prices (very
major) / 1086.30 day top and
1086.50 day gap also 1087 minor channel (major
area) / 1088.50
minor weekly channel and minor day channel also
1089.90 and 1091.80 weekly tops (very
major area) / 1097
major weekly channel and 1098.50 major day
channel (very
major area) / 1106.50 day
channel (major) / 1108.50
minor weekly channel and 1109.50 day top (very
major area) / 1112.50 day top
and 1114 minor day channel (major area)
/ 1124 primary day channel (very major
area).
Support:
1073 intra-day channel and base (major)
/ 1069 intra-day channel
and 1067.50 base (very
major area) / 1065 rev. peak and
1064.80 base (major) / 1056
minor channel and 1054.20 bottom also 1054.10
gap (very
major area) / 1052.50 bottom and
1051.40 GBX bottom (major area)
/ 1048.50 primary day
channel and 1047.40 closing price and gap also
1045.80 weekly bottom (very
major area) / 1043.70 monthly
close and 1043 down channel (very major
area) / 1036.50 bottom to 1028.50 day
gap (major area).
Comments:
The rally on Monday brought
prices above the closing prices of the previous
two weeks closes, putting the chart back into
neutral territory. A trade above 1081 is slightly
bullish but a trade above 1091.80 top area
can bring prices up to challenge the 1097 -
1098.50 major resistance, which can put a lid on
any further rallies. A trade above 1097 -
1098.50 area will put the chart in totally
bullish territory for higher prices. A
trade below 1069 - 1067.50 will bring
bearishness to the chart but only a trade below
1056 will keep the downtrend intact for lower
prices. NOTE:
The market
can prove to show additional strength from
Monday's rally but must trade above 1097 -
1098.50 to bring any solid bullishness back to
the chart.
Day
trades: For the June contract -
Aggressive traders can attempt short
positions near 1087 - 1089 area and if
possible near 1091 for obj. near 1082 and
possibly near 1080. (Use a buy stop and
rev. long at 1093).
Aggressive traders can attempt short
positions near 1097 - 1098 area for
obj. near 1092 - 1090 area and possibly near
1086. (Use a buy stop and rev. long at
1101.50).
Buy stop at 1093 for obj. near
1097 - 1098 area.
Buy stop at 1101.50 for obj.
near 1106 and possibly near 1108.
Sell stop at 1072 for obj. near
1069.50 and possibly near 1068.
Sell stop at 1065 for obj. near
1060 - 1058 area.
Long-term short positions can
continue to use a protective buy stop at 1153.
Bulletin - Originally sent 5/14/02 (9:52 am et)
The
market opened at 1093, which is the
buy stop listed in today's report.
Because the market began to sell off
from this area, it is possible that
the high for the day was seen.
It is recommended for all long
positions to exit and cut losses.
Do not attempt to repeat this trade.
Very
Aggressive traders can attempt short
positions with a protective
buy stop at 1093.20.
It is
possible for the market to rally up
near the 1097 - 1098.50 area where
short positions can be considered.
Results: 5/14/02
A
TECHNICAL GUIDE FOR DAY
TRADING THE S & P
S
& P - For Wednesday
05-15-02 :
NOTE: After
each support and resistance
listed will designate a value -
(very major) holds the highest
importance, then (major), (very
significant), and (significant)
is the least of value. Very
aggressive trades -
are trades that are against the
trend or a high dollar risk when
wide stops are used. "The
Golden Rule"
- Do not use
a buy stop inside a sell
area or a sell stop inside a buy
area.
Special
instructions for using stops
- All stops
listed are for the day session
only. Where stops ARE NOT
mentioned, they should be placed
below the second support
area listed or above
the second resistance area
listed, or 22 points from the (trade
entry point), whichever is
the lesser amount. NOTE: The
first support area becomes
the resistance after the
market trades through the second
support area listed.
The first resistance area
becomes the support after
the market trades through the second
resistance area listed.
Resistance:
1099.80
top and intra-day channel
(very
major) / 1105
day channel (major)
/ 1108
minor weekly channel and 1109.50
day top (very
major area) /
1112.50 day top and 1113 day
channel also 1113.30 GBX top (major
area) / 1122
weekly top and 1123 long-term
primary day channel (very
major area) /
1126.70 weekly gap and 1128 GBX
top (major area)
/ 1134.40 weekly top and 1135.70
GBX top (major area)
/ 1142.50 long-term primary
weekly channel (very
major area) / 1149.90
weekly top and 1152 long-term
secondary channel (very
major area).
Support:
1096.50 GBX channel and base
also 1094.50 intra-day channel
and base (major area)
/ 1091.50 intra-day channel and
1089.70 - 1089.30 base area (major
area) / 1086.20
bottom (very
major area) /
1075.50 day gap and 1074.50 GBX
bottom (major area)
/ 1067.50 intra-day base also
1065 and 1064.80 base (major
area) / 1058.50
minor channel and 1057.50 GBX
minor channel (very
major area) /
1054.20 bottom and 1054.10 gap
also 1052.50 bottom (major
area) / 1049
primary day channel and 1047.40
day gap and 1045.80 weekly
bottom (very
major area).
Comments:
The follow
-through rally on Tuesday
brought prices up to the very
major resistance area that could
possibly put a lid on further
rallies for a while. A
trade above the 1099.80 top can
bring prices up near the 1105 -
1108 resistance that can also
prove to be solid enough
resistance, along with the
overbought conditions, to
stimulate a sell-off
retracement. NOTE:
A
close on Friday above 1080 will
leave the chart neutral to
bullish. A close on Friday
below 1080 will leave the chart
neutral to bearish for next
week. Traders can look for
retracements to materialize
below 1080 buy Friday.
Remain very defensive at this
critical resistance area.
It could turn out to be the top
of the entire up move. Also
note, only a trade above
the 1123 primary channel can
possibly bring enough
bullishness to challenge the
1152 trend reversal area.
Day
trades: For the June
contract -
Aggressive traders can
consider short positions
near the 1097 - 1099 area for
obj. near 1092 - 1091.50 area
and possibly near 1089.70.
(Use a buy stop and rev. long at
1101.50).
Buy stop at
1101.50 for obj. near 1105 and
possibly near 1108 area.
Aggressive traders can
consider short positions
near 1105 - 1108 area for obj.
near 1099 - 1096 area and
possibly near 1094. (Use a
protective buy stop at 1114.20.
Do not rev. long).
Sell stop at
1083 for obj. near 1077 -
1075.50 gap area and possibly
near 1074.
Sell stop at
1072 for obj. near 1068 and
possibly near 1065.
Long-term short
positions can
continue to use a protective
buy stop at 1153.
Bulletin - Originally sent 5/15/02 (9:54 am eastern time)
The sell-off
seen today from the major resistance area is
proving the significance of this area.
Aggressive daily
position traders holding short positions
today can look for the obj. near the 1075.50
gap area and possibly a little lower.
It seems unlikely the market will have the
strength to trade above the 1099.80 top
area, but continue to remain defensive until
a trade below the 1086.20 bottom is seen.
Results: 5/15/02
A TECHNICAL GUIDE FOR
DAY TRADING THE S & P
S
& P - For Thursday 05-16-02 :
NOTE: After
each support and resistance listed will designate a value -
(very major) holds the highest importance, then (major), (very
significant), and (significant) is the least of value. Very
aggressive trades - are trades that are against
the trend or a high dollar risk when wide stops are used. "The
Golden Rule" - Do
not use a buy stop inside a sell area or a sell stop inside
a buy area.
Special
instructions for using stops - All stops
listed are for the day session only. Where stops ARE NOT
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