Whole lot of nothing going on… $ES_F 1887 x 1860

Featured Breadth Chart of the Day:



We either need the viagra to get this ole’ market going again, or we need to give up and find something younger lower.  We continue to just float around in here without any real directional leadership.


Quote of the Day:
An ounce of loyalty is worth a pound of cleverness.
–Elbert Green Hubbard

Comments and Levels for the Front (S&P 500 – E-mini futures) contract:

Short: 1887
Long:  1860


I am going to leave my levels the same as Friday for today.   I have marked the charts to show how, since that last topping movement toward the end of April, we haven’t been enable to re-ignite the momentum.    The April 24th high had us selling, but not strong enough to really shake out the longs and make them buy in higher.  That smaller 2% correction only has us back up on the highs again and not showing a whole lot of strength.  We still would like those missing 9:1 down days and an oversold Zweig.

For today we like an 1860 target on the downside.  If that gives way to more selling, look to 1847 and then 1831.

On the upside, if we get it together today, look for the 1879 area again for resistance and if that breaks, our upside target of 1887 should be eyed for some corrective behavior. 


On the MiM:


Should we call May the big tease?  Another Maxwell Smart MiM, missing by just that much.   I need a greater than 200MM read on the imbalance before 3pm.  It didn’t happen until the end and that last minute surge did move the market, but I don’t ride that way.  I am patient and wait for my chances.

If you have streaming issues, please let me know.  info@mrtopstep.com

Date Of Signal Direction x:00 Entry/Close x:20 Entry/Close x:30 Entry/Close
4/2/2014 Long 1.99 1.09 0.07
4/3/2014 Long 2.71 1.99 0.31
4/11/2014 Short 1.16 2.86 5.10
4/15/2014 Long 4.04 -0.21 -0.04
4/17/2014      Short 1.72 3.66 3.27
4/23/2014 Short -0.41 (xx:20)
Total   11.21 9.39 8.72


If you want to join the meter readers you can go to: Join the MiM

Comments about TLT (Twenty year Bond ETF):


The sell in May crowd is selling and money is coming into bonds, effectively raising the price and lowering interest rates.  That should be done by the end of May as we get ready for the summer trade.   We like TLT down to 109 from here.

Follow me on Twitter  @redliontrader <<<<<

Breadth Charts in Full:   Zweig Breadth Thrust


No momo, no fight either side.


Cumulative Volume Index:


Same comments as Friday, someone take the wheel! Please!

Number of NYSE issues trading ABOVE their 40 day moving average (40DPI):


Baby steps.

New Highs / New Lows ratio chart:



Bulls are not convincing, but we did do 132 new highs on Friday… that is not too shabby.

Trenders Short Term Trender –  McClellan Summation Index:



Long Term Trender –  Cumulative 4-week Highs – Lows (the fat lady)Nyah-Nyah:



Parting Shot: 

Geek alert.   There is a lot of geek speak about to happen, so if you want to skip you won’t hurt my feelings.   The upshot is you should be using Google Chrome and/or FireFox  and/or Opera as your browser if you want to stay ahead.

But, Marlin, why do you say that?  I have been back in the lab working furiously on new trading communications technology.  I am driven by a few things:

  • My dislike of Flash as a means of sharing audio, video, desktops
  • The mobile revolution and access to everything everywhere
  • My love for HTML 5, OpenCode and standards

Here’s the deal, in the next few months browsers will have built into them the ability not to just retrieve webpages, but to access (with your permission) your microphone, camera and desktop.  That might sound scary, but effectively your browser will be a Go To Meeting or conference center with collaboration enabled right out of the box without needing downloads (Flash) or apps.

Those new capabilities need to be tied together with HTML5 based “pages” and server side signaling, that is all being worked on in dark rooms and garages by tens of thousands of geeks located all over the world.  Most of them are more brilliant than me.    I have to pick a small pond in order to stand out so I am working to address the unique needs of the trading community to allow live chart sharing, communications – both one on one and in larger groups, tracking trades and calls, and ferreting out news and trends.   It will significantly change how we learn, teach and collaborate, how we assimilate news and data.

The point to this little parting shot is to encourage you to use on of the 3 browsers mentioned above, Chrome, FireFox or Opera.  They have banded together to move forward the standards needed to bind us together.  Microsoft Internet Explorer continues to play things close to the vest (they need to protect Skype… which will soon be called Wype) and as always Ms. Softie thinks she has a better way.   She doesn’t.  She wants to use her dominance to hinder and distract what is inevitable.  She will change her ways once she discovers she is, in fact, behind.

In the meantime, on your mobiles, tablets and desktops, do yourselves a favor and become part of the 21st century and learn to install a modern browser, there are changes a coming.

As always, we want your feedback!  marlin@redliontrader.com

Thank you for Reading – Marlin aka RedlionTrader @redliontrader

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