Featured Breadth Chart of the Day

image

Ping pong on the A/D lines as we bounce up, but the bulls have shown a two-fer in here.  Two days of up and get those numbers back up.


Quote of the Day:
I was so hungry I could have eaten a horse. But only pigs were available.
–Anonymous


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

Short: 1892
Long:  1855

image

OK bulls,  show us what you’ve got.  I have 1892, an extra +1 on yesterday’s number.  That is the double dare level for today.  A breach and we may be on a run to 1913, a new century.

If the breadth is foretelling a different outcome, we see 1855 as a downside target with confirmation on that script coming in on a break of 1876.

On the MiM:

image

A large sell imbalance on Goldman Sachs had the dollar side of the MiM pushed to the sell side, while the symbols were aligned with the bulls.  That makes a divergent MiM and, for me, is not a signal for a MiM trade.

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
5/6/2014 Long 1.88 (xx:20)
5/8/2014 Long 3.11 (xx:40) 1.24 (xx:40)
5/9/2014 Long 2.72 2.50
5/13/2014 Long 0.26 0.20
5/16/2014 Short -2.22 -1.40 -2.11
Total 2.77 2.72 0.59

 

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


Comments about TLT (Twenty year Bond ETF):

image

Bonds like the downside when the markets show strength.  We are looking for a trend change and that hasn’t happened yet as the interest rate trend is still to the downside.

Follow me on Twitter  @redliontrader <<<<<


Breadth Charts in Full:   Zweig Breadth Thrust

image

A/D line is working it out.  We would love to see it break and run below 40 and get oversold, something it hasn’t done since last year.

 


Cumulative Volume Index:

image

A divergence here as CVI is lower and a higher high.   Bulls need to work it out.


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

image

No comment.


New Highs / New Lows ratio chart:

 

image

See above.

 


Trenders Short Term Trender –  McClellan Summation Index:

image

Bearish.


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

image

Bullish.


Parting Shot: 

About a month ago I wrote a parting shot on a CNN story about treatment of our veterans in the VA hospital system.  That was a month ago.  Yesterday, our President stood up and announced he wasn’t going to stand for it.   I agree, but he is a bit late to the boat. But then again when government is ruled by political necessity, the fire has to get hot enough to kick leadership into action.  Instead of doing the right thing, we have to wait for poll numbers to come up.

Now we are told to be patient as we are put on the president’s waiting list and while he does yet another thorough investigation, another political waiting list where we are the victims of the same inaction that the VA is accused of.  I wonder where it comes from?

This time there is more than the life of an ambassador at stake and we need to team up, left, right, centered, or dis-enfranchised, it is time to stop making excuses and demand the government that we pay for.  Despite what you are told, you built that, go take it back.

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

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.