Hello Members
Starting this Wednesday 8th Sept David will be holding a weekly update webinar, in the trading room at 8pm.
This week he will discuss some major changes to the Eminis Autotrader, the trading room and the program itself so be sure to attend. Other content will include results from the trading room, auto trader current market conditions and outlook.
To attend just login to the trading room at 8pm Wed.
If you are not currently a paying subscriber to the trading room you are still encouraged to attend, you can get access using the following instructions found in the members website. (Complete Step 1)
http://www.eminismembersonly.com.au/index.php#step1
look forward to seeing you there.
Happy Trading.
In the Pre-market, we saw the markets hold on to the gains from Tuesday and pushed higher. We opened with roughly a ten point gap on the upside with decent volume (350k). We had a couple of news items coming at 10:00 and in our pre-market analysis we looked to see if we could get a continuation of the strength.
In the Cash Market, we saw the 10:00 news push the markets up 15 points! As the ISM manufacturing index came in well above expectation. (For more details on the news you can read here www.bloomberg.com/markets/economic-calendar) Unfortunately sometimes when you get this kind of strong action on the upside and the buyers hold on to the gains tightly it can lead to an extremely flat day. This is what ended up happening as we tried to look for the second pullback to get on the long side after the big move however the buyers just held all day.
Autotrader: No trades
Looking ahead to Thursday we have a day full of news so we could see some good action. Also the last few days have seen some decent volume and we expect this to continue as we start a new month with high expectations!
In the Pre-Market we saw markets continue to push down testing the monthly lows again before coming back closer to yesterday’s close price before the open. In our pre-market analysis we looked more for the upside as the markets had sold off sharply before holding the monthly lows.
In the Cash Market, we saw the markets push higher on the back of some good news (Consumer Confidence higher then expected). We found an opportunity just before lunch where the markets looked at testing the highs and we took a powerfade trade (see: Trade of the Day) and we took it for 2 points after originally targetting four points. We decided to take just the two points because we did not see strong buyers come in when the broke the highs. In the afternoon the markets were flat waiting for the FOMC minutes. After the FOMC minutes were released we had a sell off followed by more flat action around Monday’s close. The end of the day brought some big buyers sending the market back towards it high for the day.
Trade Of the Day:
We finished +2 points for the room and are back on track to get our points for the week.
Autotrader: Was on the long side with the room (see trade of the day) and when the run on showed weakness the profit target was shortened back from 4 points to 2. The large number of contracts traded on the autotrader meant that there were 2 separate exit prices. This means an average price will be distributed amongst account holders. All up the profit on this autotrade was averaged at +2 points for members. It is good to see the equity curve of the autotrader steadily rise.
Comments from the Room:
[7:58 am] Matthew S: first trade win for 2pt, feeling good now,
[7:58 am] Hitomi B: Thanks for 2 points David, see you tomorrow
[7:58 am] Craig E: thanks for the points 2nght will see you tomorrow nght
[7:47 am] Martin M: gn thanks got 2.5 points
[7:44 am] Richard/Diane V: Well done dave, i got 9 ticks
In the pre-market, we saw buyers come in early on after a strong finish above 1060 on Friday. The pre-market action saw early highs hitting the 1072 area before drifting downwards the rest of the pre-market. We ended up opening slighty in the red. In Dave’s pre-market analysis, he expected some possible early sellers but overall for the buyers to hold after solid gains on Friday.
In the Cash market, we saw some early sellers and then looked for a bounce back up for an opportunity ont he long side. Unfortunately it ended up being one of those days we were just on the wrong side of the market action as the sellers held on strong all day grinding the markets down. We did take one shot at going long in the middle of the afternoon expecting that the markets could find a bounce but they held the downside. We ended the day down -1.25 points.
Autotrader: was on the same trade as the room and was stopped out for -1.25 points
Market Outlook: The rest of the week is action packed with 2 or 3 items of news each day. This should keep the volatility strong and volume high which will give us plenty of opportunities this week!
In the pre-market, we saw a very similar sell off as yesterday. In Dave’s pre-market analysis again we were looking for opportunities on either side depending on how the market opened. Again the 10:00 news (new home sales) would possibly be a trigger and we would have more clues after the news is released and we interpretate the action.
In the Cash market, we saw almost a copy of Tuesday’s action as the news was disappointing followed by some selling. We looked to go long on a powerfade trade in the morning but could not get fill as it hit us three times before shooting up! A trade with a 4 point target unfortunately we did not get filled. In the afternoon we came back for some revenge as we took a powerfade in a similar area to Tuesday but this time it worked! (see: Trade of the Day). Our original target of three points was hit however after a slight pull back we decided to just take the points and rsults varied between + 1.75-2.25 points.
Autotrader, had its first winner for April. It took the same trade as the trading room on the upside trade but did not extend its profit target and took profit of 2 points!
Now that we have recovered Tuesday’s loss we can push on and get our 6 point target for the week!
Comments from the Room
Alex G: 2 pts! yay.
George/Wayne C: 2.75 thanks
Beverley P: 2 points
Peter F: 1.75 pts on 3 cts good happy
Evan J: im up 10 ticks for to day
In the Pre-Market we saw a large sell off as we opened the day at new monthly lows. In Dave’s pre-market analysis he expected to see action on both sides as he did not expect these markets to come straight down even though they looked to be breaking all support levels. Therefore we were looking for opportunities on both sides.
In the Cash Market we had some very disappointing home sales figures at 10:00 and this lead to some selling but the market quickly reversed and this signaled to us to look for something on the long side. In the morning session we looked to get on a pullback powerpoint but the buyers just did not convince as they struggled to break higher. In the afternoon we took a powerfade trade as the markets looked to be building up pressure on the long side. Unfortunately the trad went 1.5 points before pulling back and stopping us out for -1.25.
Autotrader: With the slow return of some Volume in the markets. The Autotrader has broken its trade drought as these markets begin to awaken. Unfortunately it was a stop out -1.25points (same trade as the room took) A good sign that it is active again tho with markets returning to form.
Market Outlook: Tomorrow is another day and with the action definitely back in these markets look for some excellent opportunities to pick up some points!
In the Pre-Market, we saw a couple of attempts to push upto Thursday’s highs before some aggressive selling before the market open. In our pre-market analysis we looked to see if the markets could push lower and test the monthly lows made on Monday and attempt to get on the short side in the morning.
In the Cash Market, we saw a small early gap close before some strong selling pressure. We attempted to get on the short side after two lower powerpoints were hit but did not take it due to some sellers just before our entry price (see chart). A good move by us as the trade would have just ended up getting stopped out. In the afternoon we did not find any trades as the action slowed down significantly.
Market Outlook: Next week brings us closer to the end of summer trading and back to more normal volume and volatility!
In the pre market: The market drifted on the upside reaching about +9 points above the previous days close. This was all wiped out due to News. Initial jobless claims released at 8.30 climbing to the highest level in nine months (+12K upto 500K) vs. 480K expected. This news produced a large selloff the market dropping over 10 points in 2 minutes back below the gap.
In The Cash Market: More bad economic data released in the morning session. Philadelphia Fed Survey saw the market fall again after the release at 10am. After the fall out we waited for the market to recover a little. We let the first powerpoint on the upside go and looked to go short on the second powerpoint. It was a fantastic setup that went begging as out charting software malfunctioned. By the time we fixed the problem and placed a limit order at 1080.75, the market went without us and we were not filled.
Market Outlook: Tomorrow is Expiration Friday. Meaning options traders will be closing out positions, this should create volatility in most markets. With 1.5million contracts traded before lunch the volume seems to be retuning. Tonight was one of the first night we have seen good solid action for a while
Comments From the room Last night
[8:10 am] Timothy W: just got clocked out 1228.70 profit
[8:10 am] Timothy W: thats not bad for a nights work
[7:46 am] Paul T: it must be exciting when the market has good volatility
[7:46 am] Steve M: well ive enjoyed every night ive been here, and nothing has happened yet!
[7:36 am] Steve M: i have learnt a lot sebastien, if thats any consolation lol
In the Pre-market, we saw a very slow moving market with no news on Wednesday. The markets had drifted higher but left no real clues coming into the trading session. With no real news expected during the cash market and the light volume continuing we really had to wait and see what the market would provide us.
In the Cash Market, the markets quickly came down and closed the gap before a big push higher just before lunch. A flat session after lunch was followed by a sell off at the end of the day. This action was very similar to what we saw on Tuesday. In the morning we looked for a pullback to get on the long side and in the afternoon we looked for a retracement to get on the short side. Unfortunately in this summer’s market condition the market is really sticking to trends and not giving us the opportunities that we can take advantage.
Market Outlook: Tomorrow we will have Jobless Claims as well as the Philly Fed Survey and leading indicators in the news. This could spark some market action so look out for it!
In the Pre-Market, we saw the markets push higher gapping up around 10 points. Generally this sort of gap (between 6-10 points) on a middle of the week trading day (Tuesday) has a very good chance of closing. We were therefore very mindful of this possibility as we looked to see how the markets would open. We had some pre-market news in the form of Housing Starts, Price Producer Index and Industrial Production. A mix bag of results in the news with Housing Starts disappointing, producer price index at expected levels and industrial production better then expected. In our pre-market analysis we looked to see if the sellers would come in early to attempt to erase the pre-market gains and whether or not the buyers could hold them.
In the Cash Market, we saw a very slow opening as it looked the pressure was building up. The move came on the upside and caught us out as the market shot up 7 points before slowing down before lunch. We attempted to get long on a pullback powerpoint but unfortunately the opportunity did not arise in the morning. In the afternoon, the markets drifted lower closing just below 1090. A very quiet afternoon as only two powerpoints were hit.
Tomorrow will be a quiet day on the news front and we shall watch closely to see if these markets can hold onto the gains made yesterday.
