Market Review
The market does not like indecision. And, this has been one big week for indecision… Will people get free money? The number one catalyst. Will people get the virus? The number two catalyst. Will the earning release move the needle?
Yea, that’s number three!
Like it or not, this is the decade of change. Before years end, 5G will be rolling into 20 major cities in the US. And of course, it will steamroll into 2021 now matter who wins the election…
Yes, I’m for four more years. For the K wave. We need eight before another party comes to town. Will we get it? Wall Street wants to change horses in the middle of the race. That’s what most pundits are saying for the market moves for team North.
One might say this weak rally with highs was manipulation by the insiders / Composite Man to get the market higher as a Terminal upthrust. Time will tell the motives and Operandi. Some volume came in yesterday 60K on the 5-minute chart to lift the offers then a pullback to 11:00 to hold a higher high. Then the market started to rally.
Looking Forward Friday, October 16, 2020
Today, the cycle is S2 day. We need volume to come in and lift those offers. If not, it’s just a weak rally from yesterday.
All eyes will be on the top three market moves above:
Will people get free money? The number one catalyst. Will the people get the virus? The number two catalyst. Will the earning release move the needle?
The elections are not far away. It’s good to be a trader to trade these volatile moves.
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: -1 points Monday, 15 points Tuesday, 40 points Wednesday, and 40 points Thursday. Total for the week 94 points, that would be $4,700 on 1 lot and $14,100 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
Decent sell imbalance and a tick divergence at 15:45 was signalled in the room and we sank a decent 6+ points into the 15:50 reveal which, although an 813M sell, was deemed not so negative as to continue the selling as we recovered most of the 15:45 candle.
Questions? Please email me: Marlin@mrtopstep.com
Get the skinny when we get it: Join the MiM.
Covid Corner:
The US continues to see higher cases for wave 3, but daily deaths remain flat.
Accumulative cases in Europe are on a dangerous path.
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 3486.50 | Opening Print: 3437.00 |
| Low: 3433.75 | High 3481.00 |
| Volume: 300,000 | Low: 3431.50 |
| ES Settlement 3475.50 | |
| Total Volume 1.6 M |
S&P 500 RECAP – Trade Date 10/15/ 2020
#ES Money Maker Chart
S&P 500 Futures: Russell Up 1% While ES/NQ/YM Close In The Red
After trading in a 52.75-handle overnight range that traded lower, the S&P 500 futures opened Thursday’s cash session at 3437.00, down 43.25 handles and traded to the daily low of 3431.50 on the open then reversed, bidding up to 3457.50 just after 9:00 CT. The ES then pulled back to 3438.50 for the midmorning low. From there, buyers came on holding a consistent bid throughout the rest of the morning trading to 3464.00 for the late-morning high, then pulling back to 3448.25 for the late-morning low.
The afternoon was less eventful with a slow and steady climb higher as the ES rallied all the way up to 3481.00 in the final half-hour of the session before settling the day at 3475.50, down 5.50 handles or -0.16% on a total volume of 1.6 million.
In terms of the overall price action, it was all about buying the open and the two morning pullbacks and then holding through the afternoon.
OUR VIEW:
ES and NQ Rebound
The ES traded down to the 3434 area on Globex Wednesday night and rallied all the way up to 3481 during yesterday’s day session. It was a steady rally higher with only a few minor pullbacks. I always talk about how ‘the S&P can close lower 1 day and maybe two days but getting a three-day decline is hard to come by. Despite the ES’s lower close, the futures rallied all day.
Our view is to sell the early rallies and buy the pullbacks, ideally, the 3450 area would present a low-risk entry.
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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