New trading range?
- Posted by admin
- on May 11th, 2012
The market has done a great job holding the 100 SMA and today’s bounce again on the 100sma on bad news makes us think we’re carving out a new trading range.
The top of the blue rectangle on the $SPY will most likely fail on the first test as it is formidable resistance. It’s nice to see the bottom hold today on bad news. It’s quite possible we’ll stay in this new range for a while.
Note how the Sunday night lows on the $ES_F on the 100sma have held all week — the 100sma has been golden this week.
We should have rallied yesterday on Euro action and we didn’t. We should have sold off hard and right now market is green (we’ll have to update at the close). That’s the type of action you want to see when short-term bottoms are being made. Too early to tell right now but so far we like what we see.
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- Keep swimming but with an eye on the shore
- Make peace with not catching every move
- 21 days and counting
- Trade against it
- What’s your edge?
- Wait for it
- Keep Calm and Carry On
- Even if you don’t trade it, you have to watch it
- This is where we would buy AAPL
- No matter what your time-frame, be patient enough to trade against an edge