Morning Brief and Tuesday’s Trading Levels
February 9th, 2010 Posted in UncategorizedGood Morning Traders
Much of the country is waking up to snow and wintry conditions. In some case, as in the Washington DC area, the weather is slowing if not halting commuters. This could limit normal trading volume, although current activity hasn't been all that normal relative to a few years ago.
As I write this, stock index and energy futures are trading higher. Metals are also up. If you haven't guess it yet, DX H10 is down about $0.36 to $80.08. The pressure on the Dollar vs a basket of other currencies, most notably the Euro, is off this morning on hopes and optimism that the EU will bail out Greece. This might be good short term, but I dont' see it fixing the long term problem. Also, Greece isn't the only EU Member hurting.
Trading Levels
As I write this ES H10 is trading 1065.25, +9.25. Please take note that ES H10 is trading and mostly to open near R1 of 1065.33. Yesterday's high was 1068.50. That being said, we have a tricky market.
If we open below R1 and hold the 1059.17 Pivot, I'll be looking to buy R1 by placing a Buy Stop at 1065.50. If filled, I'll be using a 1062.00 stop (Weekly S2). This is a risky trade because markets are still in a correction. However, markets don't just go straight down and bounce if expected. Watch DX H10 for clues.
TF H10 has a similar set up. It's trading 591.80, +4.80. R1 is 592.80, Pivot 588.60. What's positive here is that the Daily Pivot is near the Weekly S2 of 589.63. Assuming we hold 588.00, place a Buy Stop at 593.00. If filled, Sell Stop will be 588.00.
If you have questions or comments, feel free to contact me via email or toll free at 866.312.4965.
Happy Trading - Rob
| Daily Pivots | 2/9/10 | ||||
| EQUITIES | R2 | R1 | PIVOT | S1 | S2 |
| ES H10 | 1074.67 | 1065.33 | 1059.17 | 1049.83 | 1043.67 |
| YM H10 | 10043.00 | 9969.00 | 9917.00 | 9843.00 | 9791.00 |
| NQ H10 | 1762.67 | 1748.33 | 1739.42 | 1725.08 | 1716.17 |
| TF H10 | 598.70 | 592.80 | 588.60 | 582.70 | 578.50 |
| ENERGIES | R2 | R1 | PIVOT | S1 | S2 |
| QM H10 | 73.01 | 72.44 | 71.61 | 71.04 | 70.21 |
| QG H10 | 5.77 | 5.59 | 5.49 | 5.31 | 5.21 |