Trading Blog: TnT Group

Mark here.

We had Initial Jobless Claims today and they came out 434K vs 450K. The number was good for stocks but the ES ( mini future) only managed to rally 2 handles and then sold off on the open.

We have the dollar lower today but the stock markets are also lower. Gold and oil are higher on the day with gold outperforming oil. My only thought is that we have people getting out of positions before this coming Tuesday and Wednesday. I can’t imagine anyone putting on new positions with two trading days left before the elections and the Fed.  There was a 7Y bond auction today and it came out good for the market. Bonds are trading there highs as i type this.

Levels I am paying attention too…….

The ES ( mini future ) has it’s 20 day moving average coming in at 1165.50. I don’t like buying it for the fact that it has moved up with the market trading sideways. I am thinking about selling the ES if we were to have a day settle below it. I still have 1134.75 and 1120.5 as good daily support.

If  the 30Y bonds (ZB) can have a daily settle below 129.05 I think the market can trade much lower.

Hello everyone Mark here.

We had a lot of numbers that came out today. Instead of going over them one by one I’ll save us some time and just tell you that they were all better for the stock market.

Compared to the last few weeks today has been a  little crazy. With all the good numbers we had today the stock markets got off to a good start but could not hold their gains. If your wondering why, all you have to do is look at the dollar. Since there is all this talk about QE2 stocks have been going inverse the dollar for weeks now. So today when the dollar started to rally the stock markets all sold off. The 30Y bonds sold off 1 26/32 on the number but have since retraced more than half those losses.

Levels I am paying attention to…………

Oil ( CL futures) has broken out to the upside. I’m looking for it to test its 200 day moving average at 8059. If we get a daily settle above that level and can hold above  it oil could go and test 8353.

Last week the ES (mini future) held its daily support at 1119.50 and have since made a new high above 1144.00. The only resistance I have left is 1160.00. If we get above this level my target would be the highs of the year at 1206.00. I still have 1119.50 as strong support.