Wednesday, September 30, 2009

End of Day Review 09/30/09

Today was a rather strange trading day. The one thing that was consistent was the fact that the market could not overcome the resistance of the Point-of-Control areas of the past two trading days. These high volume areas are still resistance.

Morning Review 09/30/09

Not a whole lot of analysis needed for this morning's activity. The market did not like the Chicago PMI Report. Tha's pretty much it!

Duplicating My 15-Minute $TICK Chart In TradeStatiion

I get emails from time to time asking about this 15-minute $TICK chart. This is how you can duplicate this chart in TradeStation:

  1. Create a new Chart. Right click on the chart and Format the symbol. In "Settings" change the symbol to "$TICK". In "Settings" also click on "Intra-day" and put "15" in the "Minute Bar" slot. In "Settings" under "Range", put 100 for "Days Back".
  2. Click on "Style" and choose "OHLC Bar".
  3. Click on "OK".
  4. Right click on the chart and click on "Insert Symbol". Type in "$INX" and then "Plot".
  5. On the Tool Bar, click on "Insert" and then "Indicator". Select "Mov Avg Exponential" and "OK".
  6. Right click on the chart and click on "Format Analysis Techniques...".
  7. Click on "Format" for "Mov Avg Exponential".
  8. Under "General", "1.$TICK 15 min" should be showing in the "Base study on:" slot.
  9. Click on "Inputs". In the "Price" slot, replace "Close" with "(H+L+C)/3". In the "Length" slot, replace that number with "50".
  10. Click on "Color". Select white for "AvgExp".
  11. Click on "Scaling". Change "Same Axis as Underlying Data" with "Right Axis". Change "Sub-graph" to "3".
  12. Click "OK".

You should have a chart that is the same as the one above.


Tuesday, September 29, 2009

End of Day Review 09/29/09

The market closed below the Point-of-Control for both Friday and Monday, which is a negative. The $TICK MA on the 15-minute chart is also trending down, which is another negative. At 1400 ET, the $TICK was trending down as the futures retested the 0930 ET Open Price. The market then slowly worked its way downward for the rest of the afternoon.

Morning Review 09/29/09

The reaction to the Consumer Confidence Report was very negative. So far, however, the market is staying in a smaller range than yesterday. This may change in the afternoon session though.

Currently, yesterday's Point-of-Control Price range is resistance.

The market faltered after failing to trade higher than yesterday's high on the second test of that price level.


Monday, September 28, 2009

End of Day Review 09/28/09


Morning Review 09/28/09

I was hoping that the market would either close the gap or test Friday's low before shooting to the upside. However, the market opened above Friday's Point-of-Control Price and stayed above that price level. The large volume areas of Thursday and Friday are support.

Traders Audio Open Q&A Session 09/25/09

This is a Q&A Session that is open to the public.

Saturday, September 26, 2009

Webinar Link 09/25/09


End of Day Review 09/25/09

The cash market tested the 1040 area and found some support.

The $TICK MA on the 15-minute chart is still indicating that buying is occurring at this level.

The futures market is still closing just below volume resistance. Friday's Point-of-Control or high volume price range is 1044 - 1042.

After the market broke morning support, we started to get $TICK bullish divergence signals. The market then traded back through resistance to its VWAP Line. The market then found resistance just above the 0930 ET open.


Friday, September 25, 2009

Morning Review 09/25/09

After 2 days of above average ranges, we were due for a narrow range day. Today's market is staying within the large volume area of yesterday indicating some buying interest.

The $TICK Moving Average is also staying above yesterday's low.

The futures is also staying above yesterday's low, which is still support.

Thursday, September 24, 2009

End of Day Review 09/24/09

The good news is that the cash market stayed above the 1040 level. The large volume at the bottom of the range indicates buying. However, the market closed below its Point-of-Control Price. A slight negative.

Morning Review 09/24/09

This is one of those days where the market proves that it goes down faster than it goes up.
One of the high probability intraday trades is on the test of the previous day's Point-of-Control or the price range where the highest volume occurred. The closest that today's market came to yesterday's Point-of-Control is about 3 points, and that occurred around 0850 ET.
After the 1000 ET report, the market instantly jumped down several points and kept going down until it hit 1043.25.

Wednesday, September 23, 2009

End of Day Review 09/23/09

That's an interesting ending to the trading day. Apparently, some have decided to liquidate long positions.

Morning Review 09/23/09

The day session is staying within yesterday's range for the time being.
As we anticipated, the market is staying below last week's high of 1071.50. The 1035 ET tumble was a little of a surprise. At the time, I thought that the market might hang just above yesterday's Point-of-Control Price until this afternoon's FOMC announcement. Anyway, the market is back at its VWAP line.

Tuesday, September 22, 2009

End of Day Review 09/22/09

Not much happened in the afternoon. The market is awaiting the FOMC announcement tomorrow afternoon.

Confusing Morning 09/22/09

The 09/17/09 high of 1071.50 is resistance. As the market comes close to this level, expect buying to dry up unless the market is given a really good reason to go much higher.

The correction after the day session opening could not make it to yesterday's Point-of-Control. It missed by about 2 points. Neither has the day session been able to trade above Thursday's high.

We have a tug-of-war between the bulls and bears. The $TICK makes a new high, but then buying dries up. $TICK then makes a lower low, but then selling dries up. I suspect the long-term investors are sitting on their hands for the moment.


Monday, September 21, 2009

End of Day Review 09/21/09

Just after 1515 ET, I thought that the bulls might control the market all the way to the bell. However, they ran out of steam quickly, and the market fell back to its VWAP Line. Resistance came in near Friday's and Thursday's Point-of-Control. But, the market did stay above today's Point-of-Control. So, the market rests between the two.
We get the FOMC Announcement on Wednesday.

Morning Market Review 09/21/09

It's reasonable to conclude that down opening gaps are more likely to close in bull markets than bear markets. It took a while, but the gap did close today following a break of Friday's low during the overnight session.
The $TICK moving averages started trending up around 1030 ET. The market is now testing Friday's high volume area.

Saturday, September 19, 2009

End of Day Review 09/18/09

We did get an inside trading day. Look for a high volune breakout of this range next week.

Not enough buyers in the market to sustain any attempt to an upside move on Friday.

Look for an increase in daily range soon.


Alexander Trading / TradersAudio Webniar Link


Friday, September 18, 2009

Morning Review 09/18/09

So far we have an inside trading day with the market hanging around near yesterday's Point-of-Control. Actually, I hope that it stays an inside day, since a breakout of today's range next week might be a significant trading opportunity.

Yesterday we saw the $TICK starting a downward trend. Couple this with the fact that the week following September's Triple or Quadruple witching day is a down week, and you could anticipate that selling would enter today's market.

The market did start out to the downside, but did not go too far. The VWAP Line is currently providing support. So as it turned out, a shorting strategy at the open which was near the overnight high was a successful strategy.

Thursday, September 17, 2009

End of Day Review 09/17/09

A balanced, narrow range day. Reversals with the market going back to mid-range of the day are more probable when anticipating a narrow range day.

Morning Market Review 09/17/09

The market is staying above yesterday's Point-of-Control, at least for now. However, it was not able to make a higher high after 1000 ET. We have a tug-of-war between the bulls and bears. Most experienced traders know that the week following September's Triple witching day is usually a down week. So you will see profit taking today and probably tomorrow.

With yesterday's market having an above average range, it is not surprising that today's market is about half the range of yesterday, at least for now.

Even though the market could not make a higher high after 1000 ET, it is still remaining above the 0930 ET open, but barely as of this writing.

Wednesday, September 16, 2009

End of Day Review 09/16/09

The large amount of volume at the top of the range usually indicates sellers coming into the market. But, the market is still strong to the upside.