Thursday, August 06, 2009

Today and tomorrow

Here is a 60 minute bar chart of day session e-mini trading. This morning I thought the market would develop a range of 998-1012 and so I bought one unit on the early reaction to 1000. Instead we saw almost a carbon copy of yesterday's action. I still think midpoint support at 987 (purple dotted line) and/or the lower green dash channel line will be strong support. Indeed the next rally may well have begun - note the shakeout below yesterday's low which was quickly reversed this afternoon (blue arrows). I bought a second unit near the shakeout level at new lows for today, but I got out on a rally to the midpoint (near 995) of most of today's trading activity. I didn't think we would rally much more than that late in the day because early tomorrow the employment number will be released.

I am still playing for a move to 1015 or so over the next couple of trading sessions. Looking ahead further I think we shall see the e-minis trade near 1120 during October.


ashraya said...

It might be asking for too much but could you please post your trades on Twitter too?

RAW said...

Thanks Carl. Always salient to my daily reads.