Top Day Recommendations
Yesterday’s stunning reversal had to be on the release of the results of the
10 year note auction. Previously, the bid to cover ratio on Tuesday’s 3 year
was abysmal. No interest. Nada. Rien de toute. So the market was leaning
on the short side going onto the 10 year. “What a difference a day makes.
24 little hours.” The bid to cover on the 10 was spectacular by comparison
to the three year and the market suddenly turned into a smoky movie
theater. What a surge. Quasi Biblical.
Crude continues to be defensive.
Deutche Bourse is looking to buy NYSE EuroNext.
Continuing claims at 8:30 and Michigan consumer sentiment out at 9:55
Week of February 07 - February
Date ET Release For Actual Briefing.com Consensus Prior Revised
Feb 07 15:00 Consumer Credit Dec $2.5B $2.5B $1.3B
Feb 09 07:00 MBA Mortgage Purchase Index 02/04 NA NA 11.3%
Feb 09 10:30 Crude Inventories 02/05 NA NA 2.59M
Feb 10 08:30 Initial Claims 02/05 410K 413K 415K
Feb 10 08:30 Continuing Claims 01/29 3900K 3900K 3925K
Feb 10 10:00 Wholesale Inventories Dec 1.5% 0.7% -0.2%
Feb 10 14:00 Treasury Budget Jan NA -$50.0B -42.6B
Feb 11 08:30 Trade Balance Dec -$42.0B -$40.7B -$38.3B
Feb 11 09:55 Mich Sentiment Feb 75.5 75.5 74.2
Current views, speculations and suggestions
good till close of business today. These are strictly technical in nature
only, not fundamentally based or biased.
P is positive
N is Negative
PRD is Potential Trend Reversal Day
S2 is strong support
S1 is good support
DS is Daily Support
DR is Daily Resistance
R1 is Good resistance
R2 is Strong Resistance
S1, S2, R1, R2 change once, weekly, so DS can be below weekly support
levels and DR can be above weekly resistance levels as a week of trading
Levels are for the most active futures contract.
DAILY SUPPORT AND RESISTANCE
Trend S2 S1 DS DR R1 R2
S&P P 1246 1276 1313.75 1323.50 1323 1338
Emini NQ P 2217 2277 2353 2368 2368 2399
Yen N 119.96 120.79 121.04 121.74 122.93 124.24
EC P 133.39 134.59 136.35 137.7 137.77 139.75
10 year N 116.13 117.15 116.16 118.27 120.17 122.17
30 year N 115.03 116.16 117.15 118.19 120.16 123.03
Soybeans PRD 13.68 14.01 14.38 14.59 14.43 14.84
Corn P 6.29 6.54 6.81 7.09 6.81 7.04
Apr Gold P 1307 1342 1360 1369 1358 1367
Silver P 26.87 27.99 30.02 30.39 29.17 30.40
Copper P 423 441 447.5 458.5 461 479
Crude N 85.68 87.40 86.05 87.65 91.84 94.56
Sugar N 29.22 30.93 29.79 32.15 35.21 37.78
N.B.: if you initiate a trade using ANY of these
numbers use a STOP at least equivalent to 2 ½%.
Repeat: use Stops. Don’t think about using Stops.
Use Stops. Some find it appropriate to look at the
margin requirement and use that as a Stop or if
it’s a steep initial requirement, use half. But
whatever you do, stop thinking about any other
alternative and use Stops.
Futures trading entails considerable risk and is not for
everyone. An account can lose more than its initial investment.
Stops are not necessarily filled at the stop level. Past
performance is not a guarantee of future results.
HYPOTHETICAL PERFORMANCE RESULTS HAVE
MANY INHERENT LIMITATIONS, SOME OF WHICH
ARE DESCRIBED BELOW. NO REPRESENTATION IS
BEING MADE THAT ANY ACCOUNT WILL OR IS
LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR
TO THOSE SHOWN. IN FACT, THERE ARE
FREQUENTLY SHARP DIFFERENCES BETWEEN
HYPOTHETICAL PERFORMANCE RESULTS AND THE
ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY
ANY PARTICULAR TRADING PROGRAM.
ONE OF THE LIMITATIONS OF HYPOTHETICAL
PERFORMANCE RESULTS IS THAT THEY ARE
GENERALLY PREPARED WITH THE BENEFIT OF
HINDSIGHT. IN ADDITION, AL TRADING DOES NOT
INVOLVE FINANCIAL RISK, AND NO
HYPOTHETIOTHETICAL TRADING RECORD CAN
COMPLETELY ACCOUNT FOR THE IMPACT OF
FINANCIAL RISK IN ACTUAL TRADING. FOR
EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR
TO ADHERE TO A PARTICULAR TRADING PROGRAM
IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS
WHICH CAN ALSO ADVERSELY AFFECT ACTUAL
TRADING RESULTS. THERE ARE NUMEROUS OTHER
FACTORS RELATED TO THE MARKETS IN GENERAL
OR TO THE IMPLEMENTATION OF ANY SPECIFIC
TRADING PROGRAM WHICH CANNOT BE FULLY
ACCOUNTED FOR IN THE PREPARATION OF
HYPOTHETICAL PERFORMANCE RESULTS AND ALL
OF WHICH CAN ADVERSELY AFFECT ACTUAL