Stocks...
Spu’s…2022.50 in the Mini’s and 2012 in the Pit contract will be pivotal into Month end. They are this qtr’s ORH #s.
March (H) is becoming front month on Monday, with March currently trading @ a 6.75 discount to the December contract.
I’ll be quoting Dec until Thursday.
Spu’s either hold up in the teens (basis DEC) or we’ll see the Mid 1990’s, which will be a retest of the 50 DMA and Gap we took off from in Oct.
This is the spot to Buy before you sell.
NASD 100…50 DMA is 4118 with 4095 First swing Fib support.
Midcap 400…13,962-13,906 is big mvg avg support. Look for a bounce the first time down. The weekly pattern is showing a potential ORL week with a close below 14,222.
Nikkei…(H) March is now the lead contract. This remains firm as long as there is no close below 17,200. Closes above 17,700 are needed for upside follow through.
Bonds …
30 Yr…the months set up differently. Resting buy stops @ 146.09 basis DEC we’re elected in London.
Bunds…need back under and stay under, 153.96 to see weakness today.
Italian Bonds…134.00 is resistance. Sustained price action above should lead to another 65 points.
FX…
I have no interest to get involved until next week.
Commodities…
OIL…23 cents is not much of a forward (spread) to FEB OIL.
January (F) contract expires next Thursday and I see no reason that it doesn’t remain under pressure right into expiration.
If it doesn’t find some footing then, it will get offered into year end.
Soybeans…with a couple of closes above 10.57 the Beans can take the lead for another rally to just over $11.
General Comments or Valuable Insight
Today’s episode of “Beat the Bots“
The past few days have been opening range trades driven by the Bots.
Day traders either get on the flow in the first few minutes or are left sucking wind.
Looking at the spreads, Equity Indices are at an area that can trap a lot of traders.
Be patient and let the game unfold.
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Current Positions….
Long Ford (F) 14.19 14.20 Close
Long JJG
Long SLV 12 DEC 15 16.50 Call .16
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Working orders…
BUY 2 EPZ4 @ 1996
BUY 2 EPZ4 @ 1994
BUY 2 EPZ4 @ 1994