Market Review
My dentist is a Democrat. His daughter goes to Belmont. A lot of country greats have gone to Belmont. Josh Turner, Brad, Pasley, and Reese Witherspoon. Don’t know these? Here’s one you may know. Minnie Pearl.
Nashville is a Democrat-run mayor and Republican-run Governor. What color is that?
Tonight is the Presidential Debate. Most pundits say the vote is already in. The decision has been made already.
Uncertainty, we talked about it last week. And this week is still uncertain. Will the Free Money get to the people before Dec 31? Will the vaccine get to the people?
The market keeps getting checked at 3450 and supported at 3400 handle. I’d call that a 50-point trading range. If Trump wins it will spike up to the moon. If not…?
Big money has been keeping it in check around that 3420 handle. By my eye that’s a good demarcation line. The Composite Man could easily take out that 3450 on the news of an agreement.
What agreement? “Free Money” to the people, that $1,200 check and more. I can assure you Trump will look aggressive and Biden will get some sound bites. He’ll use the word, “man” and “shut” at least five times or more tonight. Perhaps not, They are muting the mike of each after they speak.
Yea, I wrote that before the debate. Overall it was a good debate. The questions were defensive. Trump needs to get on the offence if he’s going to win this game. It’s what the Broncos need D#!
Looking Forward Friday, October 23, 2020
Globex would have taken the market higher or lower due to the debates. Settle has been holding around 3420 the last three days. A bid could easily climb that wall of worry. And take out the 3450 and reach for the 3470 and possibly dig into the 3490 but can it hold? That’s the big question.
I’ve been on the bearish part of the cycle all week. We’ve had a good week. The clock has not been as clear as most weeks but Wednesday it was very clear. Today is the end of the week and the beginning of the cycle. If you had a great week. Perhaps enjoy the ride and keep your hands in your pockets?
I give you the best of the old school market technicians, JP Morgan, Herriman, Kearn, and Livermore. The traders of the 1930s. How they may have seen the market. I use the lens of Richard D. Wyckoff Principles and Procedures and through the eyes of WB’s hidden internal clock. The clock that controls all turns intraday every day.
We had a good week this week. Our subscribers have been very lucky with the levels given: 24 points Monday, 14 points Tuesday, 27 points Wednesday, and 16 points Thursday. Total for the week 81 points, that would be $4,050 on 1 lot and $12,150 on 3 lots. That’s due to the volatility that crept back into the market. I’ll be the first to say, it does NOT happen every week. When it does it’s a beautiful thing!
I would love for you to join us. If you have not taken the time, now would be a great time for you to subscribe.
Economic Calendar
Closing Prices
In the Tradechat Room
MiM
The closing trade yesterday came in at 15:05 when the MIM flashed 600M to buy with some collaborating breadth while the market put in a low tick of the day starting a 25 minute rally which then moved sideways into the close. The actual MiM MOC was 520M, but the symbol bias was right down the middle. Still no rush to get or out.
Questions? Please email me: Marlin@mrtopstep.com
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Covid Corner:
To use our table, go to https://t2r4.com/cv19/views. Each column is sortable and if you click on a cell you will get a time-based chart of the state.
Wear your masks!
Stay home!
Take your Vitamin D!
Chart of the Day
GLOBEX
| (ESH20:CME) GLOBEX Session | (ESH20:CME) Day Session |
| High 3431.50 | Opening Print: 3430.00 |
| Low: 3402.50 | High 3453.00 |
| Volume: 230,000 | Low: 3406.75 |
| ES Settlement 3448.25 | |
| Total Volume 1.47M |
S&P 500 RECAP – Trade Date 10/22/ 2020
#ES Money Maker Chart
S&P 500 Futures: #ES3450 Magnet
After a 29.00 handle overnight range, the S&P 500 futures opened Thursday’s cash session at 3430.00, down 3.50 handles, and then traded up to a morning high of 3438.25 just before 9:00 CT then reversed and sold down to the daily low of 3406.75 at 9:45. For the rest of the morning, the futures would remain in a range before buying came in during the thin noon hour pushing the indexes higher into the afternoon.
The rally would continue into the final hour of the day with the ES printing a daily high of 3453.00 at 2:45, up 46.25 handles off the morning low. The ESZ20 would settle the day at 3448.25, up 14.75 handles or +0.45% on, volume was on the low side with 1.4 million contracts traded.
In terms of the overall price action, it was all about buying the early dip and holding into the final hour of the day. In five of the last six sessions, the ES has traded around the 3450 price, crossing that pivot ten times on the 30-minute chart.
OUR VIEW:
11 Days Till Presidential Election
I have said it before and I will say it again, I can not wait for the election to be over! That said, don’t think for one minute that it will be decided on the evening of November 3rd. The estimate for the total mail-in ballot count is ‘around’ November 10th, or even a few days longer. I am going to keep this short and sweet. Our view, despite the rally in the ES and NQ the Nasdaq futures closed only 1.5 points higher than Monday’s close. Yes, it was a nice rip and yes the 50 handle ES rally from 3406.75 to 3457 fell ‘exactly inline’ with the futures RTH 5 day 50.45 average daily range. Funny how that works, huh? Our lean is to sell the early rallies (especially if the ES gaps higher) and buy the pullbacks keeping in mind the size of the 3 and 5-day average trading ranges. Do I think it’s closet clear? NO, not by a long shot. Over the next 3 to 4 weeks there are going to be some very, and I mean very, big rips and dips!
Market Vitals Technical Analysis
Did you know that your premium membership gives you access to our Market Vitals? Click on the image below and get today’s key levels.
As always, please use protective buy and sell stops when trading futures and options.
Disclaimer: Trading Futures, Options on Futures, 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. Decisions to purchase or sell as a result of the opinions expressed in the forum 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.
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