Today’s Economic News:
News for today will be all over by 8:30am ET, at least in the US that is. That Syria news keeps getting punted around so that just might stick its head up. Jobs.
Quote of the Day:
I do not agree with a word that you say, but I will defend to the death your right to say it.
Featured Breadth Chart of the Day:
Need some more Zweig downside.
Comments and Levels for the Front ES (S&P500 – Emini futures) contract:
Our 1657 red line from y’day was ok, a point and a half excursion above is not too bad. Unfortunately we didn’t get a wheels off reversal day but rather a NR7 type day for which we look toward expansion off the jobs number today. Our safety relief valve now moves to 1662, unfortunately that is 8 points above our 1654 battle-line, but we have emotional news on line today with the jobs number and that volatility forces us to move up that potential reversal area.
We would like to see an initial reaction to the numbers pre-market with a run to 1662 on an overreach with a pounced-on-selling-reaction at that point to get the down side momentum going so we can hit the 1606 and stop talking about it.
The market has been in a struggle since the last few days of August (from 1627) to here. You can see the battle in the volatility of price. Each of that battles the bulls eventually won. Today should conclude the 1654 Battle of Arras and tell us if our next levels are up or down.
On the MiM:
I missed the trade yesterday as I was not around, but it looks as if the MiM direction and market were aligned. For the day, that 3:00pm ET entrance long with the MiM was the place to be, but a 3:20 entrance still gave an opportunity to take a couple out.
I will share again another closing chart of the ES. That 3:20pm to 3:30pm window that I favor is in yellow and the arrow points to the reveal time. The market actually went into a reversal slide from the 2:55pm time frame down. That is why I sometimes put on an early one from that trend down if the MiM comes out hot. Again, another growing MiM as the sell side came piling in as we moved lower. Two days in a row of selling here on the close. As a bear now, we want it to be number three today.
If you want to join the meter readers you can go to: Join the MiM
Comments about TLT (Twenty year Bond ETF):
Coming down much faster that we had thought, we have a down side target of 101.25 but there is a lot to get through to get there.
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Breadth Charts in Full :
Zweig Breadth Thrust:
Zweig needs to break that 44 level for us to feel comfortable. There is longer term accumulation going on.
Cumulative Volume Index:
Nice upside accumulation, makes us bears very nervous.
Number of NYSE issues trading ABOVE their 40 day moving average (40DPI):
Again, need more downside if we are to be right.
New Highs / New Lows ratio chart :
Need downside follow-through.
Short Term Trender – McClellan Summation Index:
Long Term Trender – Cumulative 4-week Highs – Lows (the fat lady):
Thank you for Reading –
Marlin aka RedlionTrader @redliontrader
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