Thursday, January 27, 2011

Reviving the Public Blog

I'm thinking of reviving this Blog. If you used to follow this Blog, you know that I started a premium subscription service at back in April, 2010. I'm going to try sharing some of that content here and see how it goes. Based on the feedback and the time commitment involved, I'll decide whether to continue posting here. Every morning prior to the open, I post the Key Levels along with a Trade Plan for the day on the premium site. To kick start the revival of the blog, I'll start sharing the day's Trade Plan after the Close here on I believe traders will still find it useful and it will provide some insight on how I view the market.

Lets get this blog party started...

Trade Plan for Thursday 1/27/11
We have a Balanced overnight session, with Acceptance at 1292.75. We have Pre-Market Support at 1288.50-1290.50, and Pre-Market Resistance at 1295-1296.50. With the Durable Goods Orders and Jobless Claims out of the way, the next economic catalyst is the Pending Home Sales Index at 9:00 AM (CT). As I mentioned in last night's review post, ES is near the top of the Balance Area so there's higher risk on the Long side until we see some Initiative Buying above 1296.25. At the same time, the downside seems fairly limited in the day time-frame, and the Selling could shut off at the gap fill at 1287.50, or the 1285 Support Area. Since Buyers have been in Control, I'm anticipating a breakout and test of the 1300 Level, but I'm not a break-out trader so I will only get Long on a pullback into Support (broken resistance = support). I'll be watching for Responsive Sellers around the 1293.50-1294 Area; a fast break through that Area would confirm Buyers in Control.

Econ Data
Durable Goods Orders, Jobless Claims and Chicago Fed National Activity Index at 7:30 AM (CT), Pending Home Sales Index at 9:00 AM (CT), EIA Natural Gas Report at 9:30 AM (CT), 7-Yr Note Auction at 12:00 PM (CT), Fed Balance Sheet and Money Supply at 3:30 PM (CT).

Thursday's 5-min Chart with the EMiniPlayer S/R Zones

ES Volume Profile of the current Balance Area


  1. I think it's great you've revived this! Many thanks for this valuable resource!

    Hope you can answer a question for me...I've noticed that the night Globex session sees an increase in activity about 11-11:30pm ET. This is hours before the EU markets open and considerably after the Asian markets have already been trading for some time. Do you know what happens around this time to cause the increased activity?

    Thanks for your time :)

  2. I don't trade the overnight session, but I just looked at the chart of the past few Globex sessions, and don't see any significant activity in the 10-10:30 PM (CT) time period.

  3. I'm a bit late to your party. I'd like to see more of your "stuff" here to maybe help me decide to join the premium service. I'll be watching here. Thanks. -ragZ


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