Friday, April 22, 2011

Moving Averages of the Floor Trader Pivot

On the 5-minute charts above, the moving averages (MA) are 1 and 2 day averages of the floor trader pivot - (Highest High+Lowest Low+Close)/3. The market appears to react to these lines often enough to be more than coincidence.


Wednesday, April 20, 2011

S&P 500 Cash Closes Above 50-Day Moving Average

I would say that this is a solid close above the 50-day moving average for the S&P 500 cash market.


Tech Shoots Futures Higher Morning 04/20/11

Tech earnings have shot the ES futures above its 10-day moving average overnight. Let's see if the S&P 500 cash market can close above its 50-day moving average.


Tuesday, April 12, 2011

Bearish Afternoon ES - Tick Divergences

We got a couple bearish ES - Tick divergences as the market tested the 0930 ET open price. The result was a three-wave move to the downside. This type of trade setup is worth the wait.


Saturday, April 2, 2011

Fading The High 04/01/11

It becomes safer to fade a new futures high - Tick bear divergence when the market is testing daily resistance levels, such as the upper band on the daily Keltner channel. The bearish Tick divergence at 1333.75 turned out to be Friday's high. I thought that the market would stay above the 0930 ET open, but as we now know, the market didn't find support until it reached Thursday's high. This fade is less successful when the market is reversing from a test of a daily support level.