Today’s Economic News:
Numbers out of the UK were very good. Even the red numbers were good! Not much happening in the USA today.
Quote of the Day:
Hit any user to continue.
–Fuzzel Fish Administration Page
Featured Breadth Chart of the Day:
Zweig is suffering in here, but that strong close on Friday brought the A/D lines back in line almost to 1:1. The market is not ready to correct in a big way yet.
Comments and Levels for the Front ES (S&P500 – Emini futures) contract:
On the upside, we moved the price target down to 1590. Look at that ATR climbing and climbing. If the bulls can’t get it together on either a good piece of news or bearish exhaustion, that ATR should climb up and over the 3s. Right now the battle is on and around the 1% pullback area.
So if downside momentum takes over today and 1672 cracks, we would expect to see 166 as the next test area down. Breadth remains very strong, although we see signs of the market losing its appetite for risk as the Russell 2000 remains weak.
On The MiM & A new release:
Our snapshot on Friday was a bit schizophrenic as again it moved from negative to positive during the close and didn’t really develope a strong signal either side. There were no shorting opportunities during the last hour as the market once again squeezed up 4+ points into the weekend close.
The week resets and we wait to see if we get any volume into today’s close.
We have released a slightly modified MiM meter starting today. We have found that these symbol divergences are important for determining a signal so we will now capture and forward that data to the MiM readers.
First on the Status Line:
On the status line you will notice three numbers separated by a slash (/). The first number is the number of symbols that we are receiving that have positive imbalances. The second number is the sell symbol count, and the third number is the number of symbols we are receiving in total.
This is a real time picture update as the meter updates.
So for times like Friday where we saw an early sell side imbalance, the symbol imbalance was actually on the buy side. There was a 124MM sell side imbalance on Friday for JPM and that thre off our data.
We are providing that data, too, as a snapshot:
So our snapshot table now will collect the following:
PCT – The % of the total dollar imbalance (sell imbalance)/(sell imbalance + buy imbalance) *100
Size – The size of the difference (buy imbalance – sell imbalance)
Sym % – The percentage of the symbols leaning one way or the other (# buy symbols) / (# buy symbos + #sell symbols) * 100
Sym# – Number of symbols presented with an imbalance
SPX – Value of the S&P 500 index
Please let us know if you have any issues with the new meter. It should help us out greatly in finding those symbol divergences and to judge the quality of the data we are receiving.
Comments about TLT (Twenty year Bond ETF):
We like it to the upside still, and we are watching for 107.75 to hold and then a tackle at the 108.75 area.
>>> Follow us @redliontrader<<<<<
Breadth Charts in Full :
Zweig Breadth Thrust:
Zweig attempting to hold on. We have a pretty fair start today so far, so it will be interesting to see if that Friday buy on the close continues this AM.
No real data here. All looks ok.
Number of NYSE issues trading ABOVE their 40 day moving average (40DPI):
40 DPI having a bit of a struggle.
New Highs / New Lows ratio chart :
Only 112 new highs on Friday, but the new lows were weaker, hence a higher ratio. Let’s see if the bulls can regain their footing.
Short Term Trender – McClellan Summation Index:
Long Term Trender – Cumulative 4-week Highs – Lows (the fat lady):
Thank you for Reading –
Marlin aka RedlionTrader @redliontrader
DISCLAIMER: The information and data in the following report(s) were obtained from sources considered reliable. Opinions, market data, and recommendations are subject to change at any time. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any commodities or securities. RedlionTrader.com, its officers, directors and its contributors may in the normal course of business, have position(s), which may or may not agree with the opinions expressed in this report. RedlionTrader.com, its officers, and directors are not agents, representatives, or affiliates of the CME Group or any trading entity. Trading Futures, Options, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. Any decision to purchase or sell as a result of the opinions expressed in these report(s) will be the full responsibility of the person(s) authorizing such transaction(s). BE ADVISED TO ALWAYS USE PROTECTIVE STOP LOSSES AND ALLOW FOR SLIPPAGE TO MANAGE YOUR TRADE(S) AS AN INVESTOR COULD LOSE ALL OR MORE THAN THEIR INITIAL INVESTMENT. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS.