Day trading course 2012 bulls setting the stage for sentiment as the year opens above major resistance.

Day traders have joyously opened and rallied the market above the resistant trend line that formed a previous pennant.  This gap up has “sparked the sentiment of change that  is in the marketplace.

2012 will hold many “surprises” for the market place as Market Makers again have got our eye off the ball in the short term as the Euro is about to face the biggest tests of their community.  The big winner will be the Dollar index this year as Greece brings more of its dirty laundry to the table and holds the rest of the EU hostage for more money to bail them out.  This coupled with Spain needing more money to make up for their short falls will be the last inch before the euro falls.

Day traders see that the support at 79.84 is a critical point for the strength of the dollar index.  Support is coming in here and at 79.50 as we approach the 50 Moving Average in Magenta.  There could be a possibility of it pushing through this area, then we would look for the next support at 78.50.

There is minor resistance at 80.50  and a point of control in the short term to see if buyers can maintain the trend.  The next resistance is 81 then the most important major resistance at 81.30.  If buyers close above here we are looking for a new floor to be established over the next two week period of trading.  81.30 is the long term point of control, and looks like it will be a dog fight over direction here.  I would normally look at this as a double top with a target of 77.50 but with the weak fundamentals in Europe, the more likely scene will be consolidation with a break out to new highs or some more Central Bank easing as we approach the highs and continued consolidation.

Day trading course focusing on the S&P500 emini futures support and resistance and day traders getting direction in the market.

The S&P500 emini futures has a gap up over the holidays with a test on the 200 moving average (in red).   Initially the price moved to the 1280 area of resistance.  If price gets above 1282 and can close here, this could be a good sign for the approach for a break of the 1295-1305 resistance zone.  The next major resistance will  e 1328.50 then 1342 .

The point of control on this move will be at 1272.50.  If buyers can keep control from here, we could see a test of the above mentioned resistance.  1260 to 1262 is where buyers will keep stepping in to support this market but having an open gap at 1252.75 will act as a magnet for price action.  Once this is filled we could see a continuation to the top side.  1244  will act as a major support if the gap is filled and there is downward pressure.  The 50 day moving average is on the way up and could intersect the 200 ma in the next week.

Remember that there is an inverse relation between the dollar index and the S&P500 emini futures index.  So if we do see a strengthening of the dollar index it will normally see downward pressure in the equities market.

Thursday and Friday, we will be looking for a test of the support and resistance with the biggest tell being their close in the normal equities markets.  The Futures have shown a lot of the daily direction in the equities market and getting a good grasp of the after hours market’s price action can improve your entries in the equities market.

There will be other areas this year which will surprise the investing community.  One of which is going to be the deflationary price movement in the precious metals. 

This week gold bounced off of support in to the new year trading session.  There is a bit of tension with Iran as they are banging their pots and pans and acting if they will close the Strait of Hormuz to get back at the west for the economic sanctions.  Very reminiscent of the Blazing Saddles scene where the deputy put a gun to his own head and held himself hostage. We are coming on to the 50 moving average with sellers ending the day close to indecision after the move up.  Gold could be taking a rest here as buyers have exhausted.  The continuation to the upside will see some resistance at this point but if buyers rally here the next target of 114 seems with in reach.

If we get price failure into the move around 114. then we have a Head and Shoulders pattern setting up and we can then see the sell off into the 90-95 price target.  If the ax falls here we could then see a real sell off and move to 76.

The deflationary pressure on precious metals is due to the fact that all the gold bugs that have been buying this up at the higher levels have come to the realization that the dooms day scenario of the Dollar disappearing is not coming about.  Yes, there are some major problems with the US currency but at present, it is the only currency that the would can use to trade.  It is just apparent that the US currency is not as bad off as the other international currencies and if there are purchases to be made in the international markets that the US dollar is the one the will be around.

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We normally have a Montreal Day trading course, a Calgary Day trading course, and a New Smyrna Beach Day trading course.

The S&P500 emini futures is one of the largest professionally day traded markets in the world. Our Day trading course focuses on training you on how to see price and direction in the marketplace and how to leverage your strengths to take a profit out of the market.

Disclaimer: day trading is high risk, do your own work : The efficacy of both technical analysis and fundamental analysis is disputed by efficient market hypothesis which states that stock market prices are essentially unpredictable. Be responsible for your trades, do your own work and never rely on others. When searching for a Day trading course, be sure you understand the risks involved in trading.