With April 2010 coming to a close, let’s take a look at the Editor’s Picks from the NewsFlashr Business Blog section for the week ahead. 1. Dr. Steenbarger of Trader Feed shares with us Core Ideas of Trading Psychology. 2. Charles Kirk (Kirk Report) shares with us a Q&A on Trading Percentages and Management. 3. …
Gold prices are in a peculiar position – at least on the daily chart – in terms of short-term price resistance and indicator support. Gold can’t stay between these levels for long, so it might be helpful to know them in advance of a breakout either way.
This is another update post from my prior updates last week,
“S&P 500 Remains Above Trendline Support… for Now” and
“Rising Trendlines… the Only Thing that Matters Now?” (still a yes it seems).
In a prior post from April 19th entitled “The S&P 500 Teaches the Importance of the Rising 20 day EMA,” I highlighted how the intraday low was the exact value of the rising 20 day EMA… and now the market has bounced yet again off that level on Thursday, underscoring the importance of watching higher timeframes on intraday charts.
Let’s take a quick look at the rising trend channel lines ‘auto-generated’ from the Andrews Pitchfork charting tool to note where we’ve come and where we are now between these lines.
Reading Market Internals is essential for intraday traders and also is helpful for swing traders, if you compare days to days and swing highs to corresponding internal highs.
Let’s get an update for April 21 and then also note the three recent clean divergences – all of which have produced a turn in the market place.
Dr. Brett Steenbarger of TraderFeed recently posted two installments in a series entitled “Coaching Insights for Traders” that can be very helpful for traders of all experience levels. Dr. Brett so far has released two posts in the series, with the first and second being: Coaching Insights for Traders “More Coaching Insights for Traders” I…
You know I’m a big fan of studying price patterns and looking for those patterns to repeat, and it appears that we have a near-identical repetition – on a smaller scale – of the move down and rally from the February low, which has played out over the last few trading days.
Let’s see them and compare.
With half the day down, let’s take our usual mid-day check or ‘peek under the hood’ at the S&P 500 Market Internals to see what may be in store for price.
As I mentioned in this weekend’s update (S&P 500 at Support… For Now), we should be watching the 1,190 level which was a trendline support (which broke), but as an alternate important price to watch, we should expect at least a partial bounce (if not larger) as price tests the rising 20 day EMA at 1,180.
So far, that’s exactly what happened.
Let’s take a quick moment to see this great example of how intraday traders (particularly of index futures) could have benefited from expecting a potential ‘bounce’ or support zone on the lower timeframes by keeping in mind the EMA structure on the higher timeframe (in this case, the daily).