economy

Market at Top

Market At Top! There we go! will we go for a Major correction, yes or non? if yes soon? or will market keep going and create new highs every day?I wish I can have a 100% answer to this question. I’m working on few stuff on long term. I will share with you in futures.  For now, let’s see what is going on in Market. I will use S&P500 Index on Ninja Trader.

S&P 500 Monthly

Market at Top

S&P500 Index Monthly Chart : On this chart, you can see we are at tops of 2000 and 2008. I have few double top here. is not easy to say witch exactly will work more than other one. But I put those 2. 1st ~1522 and 2nd , ~1564 .don’t use this as “precise targets” .

For now, notice we are to far of MA50 and MA200. We getting almost same pattern as 2000 and 2008 correction.  I don’t really have much to say about monthly chart, but it’s always good to look at big picture,  at first of the months.

SP 500 Weekly

S&P500 Index Weekly Chart:

On this chart, is start to be more clear of what is going on.

As you can see, we have a trend line who react on price almost every time. Before It was a great support for buyers ,now is an resistance for buyers. Also ,we are in a double top.If you look, on my red arrows, you can see that every time  price go back to the trend line, but every time, with less volatility/commitment. Right now, no one are taking control of the market. Sellers have push the market down, but never able to support. but at the same time, buyers don’t do much about also.

S&P500 Daily

S&P500 Index Daily Chart (using ES 03-13 ,1440min):

Last week I mention, we need to watch if buyers will be able to close above 1514.75. Actually they did,they  close above 1516.00 about(depend witch day you look at).  But in one week, buyers test try to take control of market price above 1514.25 ,and test double top 1525.00 . On daily chart, you can see few other thing, buyers losing momentum , fail to go higher and stay in  “UP” trend line. Volatility and volume increase 2x , than previews days/weeks.

Few post ago, I mention, market may consolidate or just go “long” by few points a day till Fiscal Cliff. Since we know politician ..are politician and even if they sing something, they can change they mind in futures I will be careful on next week. What I’m watching for, is witch area market will close and stay on next week. Green or Red area?

Market at Top , do you know how protect your assets? and make them grow? I strongly suggest to be financially educated, it may cost few hundred at first. But I promise ,you will save/make much more in long term. Feel free to ask any question. Market at Top…don’t be caught once again like in 2000 and 2008.

Day Trading S&P 500 Chart

Hi Traders,we are moving to the double top of 2000 & 2008. Is why on this post, I will use S&P 500 Index, to show you what’s going on and talk about Market Movement.

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First Part: Will be about Market Movement with S&P500

Second Part: Is about Targets on ES 1440 charts for next week.

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First Part

Day Trading Monthly Movement of Market

Day trading Monthly Chart

Dark Green Trends Lines: This is to show you how confident Buyers was few month ago.

Lime Green Trends Lines : As you can see…after 1300 points, Sellers and Buyers are more careful. and we have more consolidation zone, and almost every time, we have important unsupported price.

RED Trend Line: Buyers may pass this trend line, but if they don’t close above, expect sellers get in and with a lot’s of commitment.

Dark Line: 1st one, is  a double top, that buyers need to pass, to make a Higher High level. If they achieve this, Next long term target will be ~1530.

Day Trading Weekly Movement of Market

Day Trading Weekly

On this chart, we can see Buyers getting in the market before we go to 50MA and touch are trend line. I don’t know if they was to exited about “fixing” Fiscal Cliff for 2 months or they party to much on New Year.  However…Buyers are better close above my “Red Line” if not, on weekly chart, we may go back to MA50 and MA 200.

Day Trading Daily Movement of Market

Day trading Daily Chart

On Daily chart, we can see that before buyers let sellers get in, and respect 50% Fibonacci retracement. This time, buyers get in the market way to fast. With not much volume (you will see on my next ES 1440 charts). They didn’t close above the double top, not even touch it, miss it by 2points.
We close on “Doji” candlestick. Buyers better get in market and show some STRONG commitment if not…they will regret  this last “RUSH“.

Conclusion for Market Movement on S&P 500 US Index:

What I can see, if we put all those 3 charts movement together.Buyers, are less confident now than few months ago. And start to lose discipline.Sellers are more likely waiting the perfect moment to get in and pay back for buyers lack of discipline.

 Second Part:

Day trading Chart of Targets for next week on ES E-mini Futures.

Day Trading ES 1440m Targets Chart

After week of consolidation, I don’t see any long term consolidation for next week, but won’t be surprise if we do get one. Is why if you take any trade next week, I will suggest to keep your targets close to your entry points … be always ready to get out if it doesn’t go your way any more.
This Week I’m Neutral ( because we have to many double top after this one, I will be more Short than Long.)

PS: VOLUME: As  you can see ES 1440(Daily), Buyers keep pushing Up, and “Rushing” with less volume than before.

Thank you and have a great week traders

PS: Day trading is not easy,we are in dangerous zone now, I don’t recommend to get in the market now, if your not well educated about Market&Trading.

Index S&P 500 Day Trading: Fiscal Cliff week

 Fiscal Cliff creates opportunities for Day traders that understand price action.

Hello Day traders and Happy Holidays for all of you!

This week, I made 4 targets for both side cause of Holidays.

 I like the big drop till ~1424.00 on Friday.This way it shows me that the Market respects the supporting trend line.

Few thing to take in consideration for next week: “Blue Trend Line” , My “Green Up Trend”, and “Fiscal Cliff”

“Blue Trend Line” : As you can see,1429.00 was a resistance and support for long time. And because we close above 1429 ,for next week, it will act as a Support for buyers.

 ”Green UP Trend” : As you can see, is a good thing that we had this sell-off on Friday, this way, we have space to go Long and go higher than before. Market looking to go back in my “Up Consolidation Zone”

“Fiscal Cliff”: Day traders can use the news to our benefit because of sentiment, but we don’t care which way it goes if we can see it.

If US politician can fix this discussion in a positive way, we go “Long” if not “Short”. Personally,(is only my opinion)….I would be very surprised if they don’t agree on something before the dead line.

Direction: I’m looking for “Long“entries only…as usually I will take if I have my confirmation.

PS: Watch my “Consolidation Zone”...look like market looking to go there.

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