S&P's

The SP went through the stop.  I think the market is likely to pull back but that's it for today...and the year.  Thanks to all who are reading and for all the positive comments.  I look forward to all the volatility that is undoubtedly in store for us in '09.

Happy New Year!

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

BP and Stocks

The British Pound was a good trade to wrap up the year but I can't help mentioning another trade as ill advised as it may be:  the S&P looks like a sale for a day trade only at 896.25 (it just made a high of 896.50).  Risk 3 points and look for a move back to unchanged.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

BP

The BP has traded to 1.4669 and has probably run its course for now.  Time to get out.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

BP stop

With the BP up 200 this morning, raise stop to 1.4475.  Look to exit at 1.4660.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP

The S&P went through our stop.  It's too strong to short and we'll look to re-establish short put positions on weakness.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

BP stop and Crude

The entry level for getting long the BP worked well today.  But it will shift lower for tomorrow so I want to move the stop up to break even to protect our modest gains from today.

Not entering crude at 38 earlier turned out to be a big mistake but we should have more opportunities.  I think crude can bounce back to $44.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

S&P's can be sold here at 879.25 with a 5.25 point stop.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Crude oil and BP

Feb crude is currently at 38.00 and has built up some momentum in its decline.  We need to see the downward momentum ease before getting long.  

The March British Pound is a potential buy for a bounce from 1.4370.  Buy it there with a 70 point stop.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

The late rally back in the stock market yesterday didn't change the short term damage to the charts.  Today we will look to sell strength there and in the yen.  

Crude and Sugar are the other makets in focus, both look like buys on weakness.  Feb Crude around 38.30 with a 1.20 stop...but I'll be back if we get down there.  Currently we are trading at 38.80. March sugar needs to back up to around 11.00 to buy it.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Yen

The March yen is trading in a sell zone, currently 1.1115, and a short trade can be made today if it firms up to 1.1145 with a 60 point stop and intitial target of 1.1030.  Also,  March Yen puts are trading at much cheaper implied volatility levels than the calls.  Buying March 1.0500 puts, currently around 80, would be an alternative way to play it. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

S&P's and Dollar Index

The top chart is a weekly sp and the bottom chart is a daily dollar index.  The weekly sp is very similar to what the dollar index looked like last Wednesday and Friday prior to the overnight break.  With today's weakness thus far in the stock indexes it appears that there may be more room to decline.  For a short term trade you could sell 863.50 and risk 4 points with an open ended profit target for now.  That would also be a reasonable level to start covering short put positions.

It's worth mentioning that I earlier recommended to get out of short dollar index positions not because of the daily chart, but because of the weekly and other time frames.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Dollar Index and Gold

Feb Gold has made an overnight high of 892 and the March dollar index made a low of 80.43.  These are the moves mentioned last Wednesday and Friday and possibly have run their course.  It may be a bit early to go the other direction with them but its probably a good time to get out of short dollar index and long gold positions.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

S&P's

Here's an early look at the S&P for the week ahead:

http://sites.google.com/a/stopsandoptions.com/www/market-and-other-commentary

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

The Dollar and Gold

The charts look similar to Wednesday's in that the dollar index and Gold look like the markets with the most potential near term; with the dollar falling and gold rallying.  Stocks look positive and ten year notes look negative but the expected moves are much smaller.

I'll be back with specific levels as they develop.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Wednesday Trading

With a shortened trading day, there is less incentive to get involved.  However, indexes and gold have a bullish bias while ten year notes and the dollar index are bearish.  The dollar index and gold are almost inverse charts to each other and both look like their respective moves could be substantial.  I would expect much more modest moves with stocks and notes.  

Happy Holidays!

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

Sp's look like they will trade between low 860's and upper 870's today.  Volume is extremely light so I'm not sure I trust the pre Holiday charts as much as I normally would.

Gold is weak as the dollar strengthens a little today.  I think there might be a trade to $870 in Feb gold.  If that develops in the next several days there would be a nice sell signal at that point to bring us back down towards $800.  Similar patterns in reverse appear with the dollar index.

Ten years look toppy again at least for a modest correction to 125'20.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Yen

Let's go ahead and cancel the yen order as we were a bit late on it and the numbers will change for tomorrow.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Monday Markets

We have had a few markets trading in areas with possible trade set ups.  The Canadian and Gold were in their sell zones but without good futures signals.  The yen, however, has recently moved down into its buy zone and we have a signal to buy 1.1080 with a 60 point stop and an initial target of 1.1220.

Stock indexes are weak again but without sell signals.  Even with a continued declining vix, writing puts in the stock indexes is something to consider for the final weeks of the year.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

There is very little to talk about regarding trading patterns this morning.  However, the VIX is at its lowest levels since early October and its decline continues to aid our short sp put positions.  The indexes, though, remain mixed technically.

It seems like a low volume day but there is still a lot of time and anything can happen.  If I see anything noteworthy I will post it.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Stopped in Stocks

In and out of stocks.  No sell signal though.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

NQ and SP's

Both the sp and nq are set up for buys near current prices, 888 and 1210 with 10 and 12 point risks respectively. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Yen

The Yen has met yesterday's initial objective of 1.1175 (now trading around 1.1140).  I would take profits if you're still in.  A buy signal may develop around 1.1080.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

CD stop and the VIX

The Canadian came within 5 ticks of the stop and then within 4 ticks of the initial objective before coming back down through break even.  I'd stand aside here.  I wanted to trail a stop on this trade as I thought it had potential to rally to the overnight highs.  Now we will have to wait to see how things pan out from this last selloff.

Stocks are trying to rally and the Vix has been coming off nicely for our short put positions.  The nasdaq in particular may develop a buy signal on intraday weakness. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Canadian Dollar

Move stop to break even in Canadian dollar.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Canadian Dollar

Buy the March Canadian Dollar at 8330 with a 25 point stop and a 8380 target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Morning Update

To follow up on a couple of yesterday's trades:  Notes dropped a point since the last sell signal and have about returned to the entry point.  The stop has been moved to break even and should remain there if anyone is still in it.  The Yen declined overnight as well but is rebounding.  Move stop to 1.1365.

Today, the dollar continues to decline but risk/rewards for entering are getting worse.  The BP and CD are a little behind the other currencies and may offer the best place on a risk/reward basis to get long.  I'll come back with numbers there.

Stock indexes generally look positive but I have no trade numbers at this point. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Ten year note stop

Move Ten Year Note stop to break even.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Ten Year notes

There is a sale in the ten year notes at 128'10 with a 1'10 stop.  Another shorter term trade should develop with a further rally to 128'14 with about a 10 tick stop.  Now is not the time to cut the puts we bought earlier.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Missed Gold

Scratch the gold sale for now, I missed it.   

The Yen short survived a surge near the stop but has come back down.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold

Sell Feb gold at 882 with  10.00 stop and a 862 target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Yen

Sell March Yen at 11395 with 110 point stop and 1.1175 target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

Stocks are looking better (no surprise after a 40 point rally) and I'm looking to buy weakness today.  I still like holding short put premium positions in the stock indexes.

Treasury futures continue to rally against what I thought might be toppy levels.  The technicals remain bullilsh and I'm looking for a spot to reduce that exposure.

The dollar continues to decline against most currencies.  The only future in a 'zone' is the Yen in a sell Zone.  It's a place to roll calls higher if you have them.  A short futures trade should develop on further strength today around 1.1380.  

Nothing in crude or gold at these levels and chart patterns.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Out of Crude

Crude went through the last stop level of 44.30.  It is time to stand aside in crude as it has not been able to hold a rally and the technicals may not look like a buy tomorrow.  

I still think it is ok to be short stock index put premium (put spreads) and long ten year note put premium.  The futures trades in these two markets just haven't developed in the last few days. Maybe the Fed will help us out with that.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Crude Stop

We can raise the stop in crude again to 44.35.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Raise stop in Crude

Raise stop in Crude oil to break even.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Stopped in Crude

We're out of Crude at our stop of 45.30.  It is a buy if we get to 44.00 with a stop at 42.80 stop.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Crude Oil stop

Move stop in CL again to 45.30.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Crude Oil

Crude oil is up over $1.00 on the day so far.  Move stops to break even.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Crude, Stocks

We're in for round two with the crude.  The original numbers are fine with a $2 stop.  

Stock indexes have been weak all day and pressing the lows.  I don't get sell signals when the market is in a daily buy zone...there is no target to the downside.  Depending on how the charts change we could get trades in either direction tomorrow. All the stock indexes look generally the same.  

The dollar index still looks very weak and could see a move down towards 8040.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Move Crude Stop

Move stop to break even in crude oil.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Crude Oil

Crude has had a big range again so far today.  Jan CL topped early at 50.05 and has been headed lower since.  It has dropped now enough to consider buying it again.  Buy Jan Crude at 44.80 with a $2.00 stop and a target back to the earlier $50.05 high.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Dollar Index

This is the March Dollar Index daily chart.  I want to point out that it is in an expanding downtrend.  The EC and SF charts look just the opposite.  The dollar has been my focus this morning although it and many of the currency futures have already made large moves which may continue.  

I'm neutral stocks here and think crude and gold are being helped by the dollar weakness but their respective up moves are probably limited.  We saw the potential correction coming in crude from the end of last week but I think it will largely run its course in the low 50's.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Update

Notes went through the stop and we missed the NQ on the last move down.   Cancel the Nasdaq trade for now.  If we break again the numbers may be different and if its too late in the day it won't be worth the risk.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Ten year notes and NQ

Sell March Ten year notes at 123'20 with a 124'00 stop and 120'22 target...or buy March puts or put spreads.

Buy March NQ at 1182 with a 1174 stop. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market update

The volatility is such that I'm just not getting good risk/reward setups.  I think stocks are likely to hold in here if not rally again.  There is a trade now to buy NQ's at 1185ish  with a 1171 stop, with a 1305 target. But the market has to close higher or it may be an exit on close. (Will likely raise levels as market and the day progresses).  

I think it is ok to be short stock index put premium (credit put spreads) and long ten year note puts or put spreads.  Late yesterday's and earlier today's volatility is why I like to couple futures trading with option positions. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Morning Markets

Crude oil this morning is set up reverse of what ten year notes was yesterday.  It's picking a bottom and with a fairly wide stop but I think Crude is a buy early today.  The bottom may be in already today but if Jan crude trades 43 in the next couple hours its a buy with a $2.50 stop.  48, then 50.50 would be the targets.

The dollar looks weak, EC looks strong, and very mixed to say the least in the sp's.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's stopped

The sp's got stopped on the evening opening.  We'll start with a clean slate in the morning.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

If we can avoid the stop overnight  in the S&P we may get the move tomorrow that I thought we might get today.  Have a good night.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

I didn't realize the market was dropping so much as I sent the last post.  Now we can buy the SP at 877 with a 10 point stop.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP

My earlier optimism regarding the potential in stocks has proven to be wishful thinking.  Still no buy signals, and it very well may give a sell signal next.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market update

We got stopped out of the ten year futures with a small gain and likely will get more sell signals.  The puts are in good shape.

Stock indexes are moving up and for the first time in awhile it is setting up where we might be able to go with it.  Should have specific numbers within an hour.  

Dollar index is down to today's buy zone but if it doesn't climb out of here today, it is going to look more bearish.  Possibly setting the stage for a correction down to below 8100.  This time the yen is not going with it making the dollar weak across the board.

Dollar weakness must be contributing to strength in gold and other commodities.  Oil may finally be developing a range after its long fall.  A move to over 50 is developing.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Move Futures stop

Move ten year note futures stop to 123'22.5.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Note Futures

As my earlier Post mentioned, I think this morning is a good time to take a shot at buying puts on the notes.  I prefer that over the futures but as a futures trade it would be to sell a March ten year note future at 123'26 with a 24 point stop and an initial objective of 122'10.

 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Ten Year Note Options

This morning's rally in Ten year notes, currently at 123'22, offers a good opportunity to buy March  Note puts.  I think the market can correct back towards 120'16.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Move ten year stop again

Move Ten year stop to 122'20

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Move Stop on Ten Year

Move stop on Ten year note to break even.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Ten Year Notes

Sell March Ten Year notes at 122'25 with a 10 tick stop and an initial target of 122'05

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Ten year notes and Gold

Both Ten year notes and Gold are likely to offer day trades in the direction of their early moves...down in notes and up in gold, but levels are not yet certain.  There looks to be some room for these moves to continue.   Early guess is that we'll sell notes in the 122'20's and buy gold under 800.

We were stopped out of SP's  quickly in the overnight session with a break even trade.  SP's are giving mixed signals.  Dow looks most positive of the indexes.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP Update

With the Sp's holding there low's but still finishing weak, I would move the stop to break even.  We very well may get a sell signal tomorrow near the current stop level. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

Sell Dec SP at 892 with a 10 point stop and a 872 target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Cancel Sugar Trade

We've missed the sugar offer at 11.45 and now its too late in the day, so cancel the trade and we'll look for new levels tomorrow in sugar.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Sugar

We had a nice long trade in Sugar we got out of yesterday.  Today I think we can sell 11.45 with a 30 point risk and look for a move back down to 10.75.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

EC, Canadian Dollar, and Stocks

Today we may get a new long trade in EC and Canadian dollar.  The EC just recently, in the last hour, went down to touch the Buy zone level of 1.2765 but we need a bit more weakness to buy it...same with Canadian.  

Stocks look as they did yesterday,  that they should be bought at lower prices. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Stocks and Sugar

The stock indexes are much higher following through on Friday's turnaround.  It last looked this positive on Election day which, of course, didn't work out.  This is different in that the SP was at 1000 then and now its around 900.  960 is early new upside target although we will look to buy it in low 880's for now. 

Sugar is also up this morning.  Move stops to 10.85 and take profits at 11.15.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's Ten year notes

Sp's are too strong to sell here as we approach the end of the week.  But as we trade into what has been resistance all week, I would pass also on buying it.  

One interesting item worth noting is the Key Reversal in the ten year notes today.  It may be a sign the panic flight to quality is ebbing and a return to riskier assets a consideration.  Further strength in the sp's could push the sell zone to the 960's, but that's getting ahead of ourselves.  We'll see how the charts look on Monday.  Have a nice weekend.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

This is a good profit level at 850 for this quick of a rally.  Ultimately we may move to and beyond yesterday's highs, but for now, I'd  get out.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

Both SP's and sugar have broken the early lows and have rebounded some.  Raise stop on SP to break even with the market now at 840. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Update

This morning's first Post was too late to get the recommended trades.  They are still good but may have to be revised.

It's probably worth noting, if you haven't been following the Buy Sell Zone changes, that many of the markets we follow; stock indexes, some currencies, and gold, have all been contracting into smaller and smaller ranges.  With these set ups, we get a lot more trades that are 'fades' than momentum trades...like buying stocks today and gold the last few days. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Sugar correction

The March Sugar trade from the previous post should read 10.62 not 11.62.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

S&P and Sugar

Two early trade signals are buy the SP here at 826 with a 14 point stop and buy March Sugar at 11.62 with a 30 point stop.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold and Sugar

Gold came right back down as you know if you're watching the markets.  Same trade basically from the last couple days still applies although I feel we're pressing our luck in front of tomorrow's unemployment news.  However, there is a signal to buy 764 with a 7.00 risk and a  14.00 target.

Also,  sugar has broken substantially from recent consolidation and is now set for a short term reversal.  Buy March sugar at 10.80 with a 30 point stop and 11.40 target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Update

Gold has moved higher and is now in the sell zone for the day.  If it can maintain 780 and above today, the sell zone for tomorrow will shift up to 847ish.  Raise stop to 772 gtc or take profits above 780.

Also, I've added a link on the right side of this blog to the Buy/Sell Zone levels I update every morning for your convenience.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold Stop

If you're long gold, move stop to break even.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold, Dollar index

Gold traded up overnight over 776 and then retreated to stop us out with small gains in gold.  However, it's a buy again here at 765 with a 6 dollar stop.

The dollar index is set up for a sale at 87.75 with a 50 pt stop and minimum 100 point target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold Update

Feb Gold dipped just enough to get us in.  Move stop to break even if we reach 776 today.  

The recent dip into the 30's in the sp gave us a chance to roll some puts but it wasn't low enough for a futures signal.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold

Buy Feb gold at 768 with an 8.00 stop and a 784 inititial target price.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

It turns out that I missed the SP's and not gold.   We want to do bullish SP trades on weakness  for now, not strength.  We should get more chances today if we're patient.

Another trade to consider is buying puts on the JY.  It briefly went into the sell zone, over 10800, a little while ago and should correct lower if stocks continue to recover.  Implied volatility on Yen puts are 30% cheaper than the calls and bid/ offer spreads are more narrow.  

Finally, on Gold:  I would recommend calls on gold here but bid/spreads are so wide I don't know where fills would be. A long futures trade should develop there today eventually.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Gold

We need to wait on gold as it is too weak.  Perhaps later in the day.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

S&P's

I suggest rolling puts from existing put spreads down to lower strike prices to take more premium out of the market if we reach 820.  At that price, you could also buy contracts with a 15 point stop and an initial target of 850 and perhaps 870.

I may have missed gold but will update levels at the top of the hour.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's and Gold

Looks like SP's and Gold both may be developing a trade to get long this morning.  It's too early to give levels but I will update.  

As it turned out the dollar index rallied yesterday and is up again this morning while the EC and BP have resumed weakness.  These markets were very mixed yesterday and now trading in the middle of their zones.  I don't have strong convictions with the currencies at this point.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

DX, EC, and BP

The dollar index just made a new low by a tick or so to 8647.  The signals are too mixed at these levels at this time for me to pull the trigger.  Both the EC and BP futures look bullish short term as well and the three contracts will not all rally together.  

Today looks like it will be limited to shorter term signals for all these markets.  I will post new levels as they develop. Same goes for the stock indexes.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

Market Update

The large moves yesterday in many of the financial futures really broadened out the Buy/Sell Zones and made for a little more short term uncertainty as far as generating new trade signals. 

 

The dollar index, however, is about to setup for a long trade near todays lows, around 8650, with about a 50 point risk and a target of 8850.  I'll update soon as that develops.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

Today's SP move is a good lead into mentioning I put a new attachment on the main page of the Stops and Options website earlier, 

 http://sites.google.com/site/stopsandoptions/  

Feel free to contact me with any questions.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP, EC update

Looks like a quick daytrade selling the sp at 854 with a 5 point stop and the lows as a target has developed.  It is good only until 11:30 central unless further updated.  

Also, I'd scratch the EC trade here at 1.2620 as the numbers may very well look more negative as the day wears on.  

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP's

SP's have moved into the longer term Buy Zone which has given us opportunity to roll puts lower and take some premium out of the market.  There may, however, be a daytrade sell later, which I will Post at the appropriate time.

Also, the EC went through the purchase price from earlier. 

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results

SP, Swiss, and EC

Stock indexes are lower this morning which is helping our put spreads from Friday.  As the SP's near the Buy Zone of 861 we will want to roll the long puts from out spreads down to a lower strike to take money out of the trade.  For those who bought the Jan 700/650 put spreads, we will most likely be able to recover our purchase price  by rolling the 700's down to 725 and leaving us 725/700 put spreads.

Buy the Dec SF at 8230 with a 40 point stop and a 8310 initial target.

Buy the Dec EC at 1.2620 with a 60 point stop and a 1.2740 initial target.

There is a substantial risk of loss in trading commodity futures, options and foreign exchange products. Past performance is not indicative of future results