Trade Technicals
Well we have just touched that 61.8% retracement level on the S&P500 from the October 22 low and a sell signal is setting up for us as I write this Blog. Not surprisingly we have had a retracement off all major Fib levels on the way up.
My rant for the week:
Well the headline this weekend on MarketWatch:
'FED Ahead, Market wants cut'
Many people believe that the Feds actions will inject liquidity into this market by cutting rates and get this market moving onward and upward again.
I am surprised at how much faith people put into the actions of the Fed, particularly when history tells a different story. In 1987 and 2001 the Fed started to aggressively cut rates, and on both occasions the markets went into a period of sustained downturn. More specifically, On 3 January 2001 the market rallied on the back of a Fed rate cut through to 31 January 2001 which preceded 9 more rate cuts and the onset of a 44% decline in the S&P500.
Are we headed for another punishing bear market?
Market Snapshot:
Volatility continues for this market. While the Indexs finished higher in the latest week of trading, it was definitely another wild ride. We had the traditional oversold bounce on Monday with follow through on Tuesday and then Wednesday we had a huge rally from the bulls following a 200-point morning slide in the Dow. The Dow closed the week up roughly 220 points.
Tradewinr: Weekly Performance
Another profitable week for the Tradewinr.com Portfolio!
| Markets | Weekly Points/PIPS | Weekly Profit/Loss | Monthly Profit/Loss |
| The Dow Daily prediction | 400pts | $4,000 | $16,660 |
| S&P500 Swing trade | 35.3pts | $1,765 | $4347.50 |
| The Dax Swing trade | 24.8pts | ($1,016.80) | ($4,100) |
| S&P500 | 42.9pts | $2,145 | ($710) |
| EUR/USD | 230 pips | $2,300 | $3,580 |
| Weekly Total | | $9193.20 | $19,788 |
.
I believe Financial broadcasters are definitely in the bull camp, swaying you into believing that now is an excellent buying opportunity as we are in for a seasonal rally so why not go along for the ride!!
However, if you subscribe to elliottwave or Gann theories your view is much bleaker for the future of our financial markets. While I definitely have more than a passing interest in both, We here at Tradewinr are system traders and do not have our lively-hoods pinned on trying to predict exact turning points in the market. While we do call the Dow daily movement this is solely based our technical indicators and a couple of proprietary tools. We will leave the rest up to the very few who are successful.
I am still constantly surprised at the number of people fixated on finding the perfect system or knowing exactly where and when the markets will turn. Obviously there is definitely this innate human desire to be right which is at odds with trading as a business. As sure as the sun rises we will all have non profitable trades, which is what so many traders new and old continue to have difficulty with.
I would encourage our members and those passing through to grab your self a copy of “Trading in the Zone”, by Mark Douglas, A must read for all traders who want to master the psychology of trading. Books are available at MarkDouglas.com
Market Snapshot:
Market Internals: What a mixed week for stocks. The Dow finished the week up around 15 points on the week. The NASDAQ ($COMPQ) rose during four trading sessions and was up around 20 points this week. There seams to be a push from investors into strong performing stocks and a number of stocks continue to set new 52-week highs despite recent weakness in the major averages.
Tradewinr: So finally how did we go this week?
Another profitable week for Tradewinr.com!
S&P500 Swing trade
The Emini S&P500 finished the week up 16.85pts. Thats a profit of $842.50.
The Dow Daily prediction
We finished up with 12 points which is a profit of $120. Still our best performing market!!!
The Dax Swing trade
Dax system finished with a 44.10points which is a profit of $1808.
S&P500 Intraday
Closed trades out for a 21.5 points profit $1075 on the Emini S&P500.
EURO/USD Swing
Huge week for our Currency trader closing the week with a net total of 227pips profit. A potential profit of $2270 0 Comments
Monday 22 October 2007 - Market Summary
Market Snapshot: The potential was definitely there for a market bounce today following Fridays oversold technical indicators and thats what we got. Technically, the rally lacked substance and once it runs out of steam, more downside action should resume. Now is definitely the time to pull out your Fibonacci tools and start looking at key levels that may present as a turning point in this bounce.
Tradewinr: So how did we go on Monday?
Another profitable night of trading for Tradewinr.com
- S&P500 Swing trade - Closed out our trailing position on the emini S&P500 at 1500 for 41.75pts thats a massive $2087.50 Profit per contract. What a great way to start the week off!!!
- The Dow Daily prediction
- The Dax Swing trade
- S&P500 Intraday - Closed trades out for a 27.5 point profit $1375 on the Emini S&P500.
- EURO/USD Swing
Members Update
We will also shortly be introducing an exciting options/futures strategy for our members at no additional charge as well as providing signals for additional currency/futures markets. Watch this space for our upcoming launch!!!!
0 Comments
