Here you will find the most recent trade levels released today in the Market Dimensions Advisory. This update is showcasing an MDA SnapShot levels with potential buy and sell zones for you to consider executing on the day. If you would like to further discuss these trades do not hesitate to contact me directly. If you are not getting these updates sent to your inbox each morning, please subscribe HERE. To see all MDA updates (morning & intra-day levels, trade recaps, educational material) visit my blog page HERE.
Published 5/5/16 8:19 am central
Happy Cinco de Mayo. In the overnight trading action we saw the bulls push higher to the 2060 trading level and then retrace back down and trend between the 2054- 2051 zone for the last few hours, Even with a release of economic data (see chart below). The market of note this morning is the crude market with it rejecting breaking into the $42 range and now trading up over $2 on the day with a high @ $46.07. Gold is also up from overnight low @ $1276 area and now trading near $1288, the news wires were hit yesterday by a large trend trader suggesting sell stocks and buy gold.
Looking at Market Action Scanner, I have put together a little different format on this today. We have the TAS says feature being highlighted with the write up based on the levels. We are seeing that we are neutral 3 of the 4-time frames. With Daily still being the only Below profile red level. I have highlighted potential resistance and a breakout area for the ES. Looking at SP odometer, we are just slightly red bearish but with the overnight’s bullish action this could start moving us back into neutral or slightly green bullish on the 60 min time frame. The overall theme though is people are thinking this market is negative bearish and I think we could see some downward movement continue to move lower. However, I don’t think bears take complete control until we break and close below 2030.00
Looking at Today’s 30 Min SnapShot chart, We are right at the sell zone level from the overnight move higher, but we see TAS navigator still green bullish but has retraced back down to show an indication of a trend exhaustion. I think many are eyeing the downside zone @ 2045 as potential support for buying or offsetting shorts so if we do go lower look to see that area hold and potentially retest. To the upside, our breakout zone is @ the highs from the pop higher, with old zones around 2054-2055. If looking to buy I would like to see big buyers coming in and buying this market up as opposed to shorts getting squeezed out and touching highs. In order to determine this, we need to follow the order flow on the day and where the big buyers/sellers are coming in.
Bloomberg: Five Things You Need to Know to Start Your Day
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Market Action Scanner: S&P
30 Min ES MDA SnapShot Chart:
Economic Calendar: Video on how to access on dt pro: https://vimeo.com/160017837
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