May 26th, 2010 Posted in Uncategorized

"I don't publish my 3rd range of Support and Resistance. However for those interested in speculating on picking a bottom today, S3 for ES M10 is 1045.33. S3 for TF M10 is 620.73." (Pivot for Profits 5/25/10).

Aggressive traders who took shot and speculated to the long side using my Support 3 level should have had a monster day yesterday as equities erased virtually all of the early morning weakness.

As I mentioned, yesterday was a big day in that it would determine whether this severity of the current correction in equities. We held key support levels. This doesn't mean that the correction is over, however it is apparent that money managers are bottom feeding.

It is my belief that yesterday's initial drop had more to do with the unwinding of margin positions related to options expiration more than it had to do with what was going on in Europe. If I'm right, we should continue moving higher the rest of the week and perhaps into next week before concerns over a global financial meltdown rears its ugly head again.

If you have questions or comments regarding my numbers below, feel free to contact me via email at ruria@manducatrading.com or toll free at 866.312.4965.

Daily Pivots	5/26/10
EQUITIES	R2	R1	PIVOT	S1	S2
ES M10	1098.17	1085.33	1061.92	1049.08	1025.67
YM M10	10223.33	10123.67	9940.33	9840.67	9657.33
NQ M10	1861.42	1838.08	1796.17	1772.83	1730.92
TF M10	656.70	647.20	631.40	621.90	606.10
ENERGIES	R2	R1	PIVOT	S1	S2
QM N10	69.94	69.33	68.29	67.68	66.64
QG N10	4.18	4.14	4.09	4.05	4.00