The internet stocks SINA, SOHU and NTES are all at or near the major support level. The possible play may be buying slight ITM Jan calls, but they are all richly priced due to their high volatility. Holding SOHU Jan 30 Call. Closed NTES 40 Jan Calls.
Other stocks such as ACH, PTR, SNP and CHA are making big moves at new highs.
A new order entry program is being developed. It uses the popular DOM (Depth of Market) grids as the main GUI to visualize the whole order entry and management process, speed the process up and reduce occurence of entry errors. Most of operations will be done with a single mouse click. The first release will support bracket orders. More sophisticated position management techniques such as scale in/out, time stop, changing stop to trail stop once reaching certain target, market chasing, etc., will be added later.
INDU closed at 10042.16. S&P 500 closed at 1074.14 and NASDAQ closed at 1949. It looks like more money is moving into the big caps.
Started experimenting YM, the e-mini Dow Jones index future. It trades in much lower volume compared to ES. The result has been good so far using the same setup for ES. Actually, the same setup (trend following plus price action, resistence and support, plus Bollinger Band with Slow Stochastic is being used in stocks, stock options, and futures.
It turned out that last night’s low 1057.75 was the bottom. S&P 500 rallied back to the resistence level 1070, a few points away from the high 1075. INDU is fewer than 50 points away from 10K. Barring from any surprises, we shall see 10K pretty soon since everyone is talking about it.
Covered the short, reversed, and rode through half way, but missed the last leg from 1064 to 1070. Went short again at 1068 and 1069. We shall see some pullback tomorrow morning after this big run up, but so far hours into the new session, the market stays right at 1069.75×1070. The bears and bulls won’t blink. The stalemate should resolve in the morning.
Covered one before the employment data release. Covered two later. Still have one short left for the weekend.