As traders, it is our job to adapt to changing markets. No strategy or system works forever. And while there are certain trading fundamentals that will always be relevant (i.e., discipline, patience, proper preparation), we always to need to be cultivating our edge and looking for new ways to make money. Below is a quick rundown of three shifts I’m … Read More
SMB Setup for the Close for November 23, 2009
Today, the Market sold off for most of the day after a strong drive on the Open. In the afternoon, the Market touched the Opening lows and had a modest bounce. Into the Close we don’t expect a big move, but if the SPY hold above 111.10, we could see a move to 111.35-111.50. If the SPY take out the … Read More
SMB Morning Rundown for November 23, 2009
Today, the Market appears set to open higher after comments over the weekend from Chicago Fed Evans that interest rates will probably remain near zero into 2010. The weakness in the dollar is helping push gold to new highs, and also the catalyst for the strength in other commodities. The levels we are watching in the SPY are 110.50 (inflection) … Read More
SMB Setup for the Close for November 20, 2009
Today, the Market touched SPY 109 in the middle of the day the before making a modest attempt to rally later in the day. Into the Close we don’t expect a big move in the Market as the volume in fairly light. We are watching SPY 109.70 for resistance and 109 for support. Our best idea into the Close is … Read More
SMB Morning Rundown for November 20, 2009
Today, the Market appears set to open lower, continuing the weakness from yesterday. Overseas markets were down, adding to the pre-market weakness in the US. Commodities are also weighing on the Market due to strength in the dollar. The levels we are watching in the SPY are 109.60 for resistance on the upside and 108.80 for support on the downside. … Read More
Pamela Anderson Could Make This Trade
I was involved in quite a few stocks this morning. Alerts were popping up left and right as the market was selling off. Part of my job as a trader is to quickly decide if an alert is important enough for me to stop watching my primary trading stock. At 9:51AM I received an alert that FCX had touched 82.54. … Read More
High Frequency Algorithms Tampering with the Tape & Chart Setups
Gman, head trader at SMB Capital, wrote an excellent article for Wall Street Cheat Sheet about how to make adjustments to your trading to avoid being shaken out of trades by the algorithms. You can read the full article here.
SMB Setup for the Close for November 19, 2009
Today, the weakness in the Market continued for much of the trading day. The Market easily took out the pre-market lows on the Open and has consolidated in a tight range for much of the trading day. If the Market can stay above 109.50, we may see a rally up to 110.00 into the Close. Our best idea into the … Read More