Tuesday, July 20, 2010

7/20 Daily Commentary

The futures market just completed the top of the 5-wave at SP 1085. I've completed the trading robot. I shorted SP futures at 1083.50.  The target is SP futures 1072.  If ETFs are still trading when the target is hit I'll sell the short ETF position at that time as well.

The move off of the last night's lows is a clear 5-wave, so the A wave of Minute4 should be done here and a return to the bottom range of the s4 rectangle should be in order.
The I1 peaks tomorrow (near or at the close).  I shifted to the bearish view because I thought Friday's decline was a "tell" of a consistent downtrend.  I made good money on the short side last night futures, but the uptrend today took it back.  I1 peak will dovetail with the expected C wave up to complete Minute4.  I am focusing a lot more now on the futures market and have completed my robot.   So, I can spend more time on the broader tactical view.  

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4 comments:

  1. AnonymousJuly 20, 2010 at 10:11 PM

    kudos for an excellent blog...

    -shabs

    ReplyDelete
  2. AnonymousJuly 21, 2010 at 5:07 AM

    Steve

    I got stopped out yesterday and I’m looking for a good entry point to short until I1 bottom 7/29. With the futures up this morning were do you think I should go back in. If I play it right the stop will have made me more money in this current cycle.

    Jack C

    ReplyDelete
  3. Steve KotelesJuly 21, 2010 at 6:06 AM

    Thanks, shabs. Interesting times we're living in, eh?

    ReplyDelete
  4. Steve KotelesJuly 21, 2010 at 6:07 AM

    Jack,
    I want to wait until this afternoon to let the I1 play out, but any negative trend after 11:00 ET I'll start to short.

    ReplyDelete

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