Long way down, the adventure for 2014 has just begun $ES_F 1826 x 1807

MrTopStep.com

Featured Breadth Chart of the Day:

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image thumb86 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Movements are getting more volatile now as the Zweig shows us a move to 50%.


Economic News:

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image thumb87 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Inflation numbers out of Europe and the UK today showing that the deflationary trend appears to be waning.  That is good news.  In the USA today it will be retail under the microscope.


Quote of the Day:
Some people regard discipline as a chore. For me, it is a kind of order that sets me free to fly.
–Julie Andrews

 


Comments and Levels for the Front(S&P500 – Emini futures) contract:

Short: 1826
Long: 1807

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image thumb88 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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While the equity markets believed the tapering fear from Fed Member Lockhart which started the ball rolling into the close, the bonds continued to rally to lower interest rates.  Our fall took us exactly to the 2% line and, sure enough, there were buyers there willing to bounce.

The MiM joined in the selling during the last hour of trade snapping a streak of lighter MiM buying.  For today we are looking toward 1826 as a possible recovery to see if buyers are willing to bid it up and over.   If we do hit turbulence again we want to think about buying long for a reversal in the 1807 area.


On the MiM:

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image thumb89 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Nice MiM coming in on the downside after which the market was already down big.  It is not the kind of trade I would have ever have down pre-MiM, that is a trade joining the downside after such a big move.

For January, I am continuing to do entries at the 3PM timeframe if the MiM so inclines with an obviously strong biased position, in this case both the dollar percentage and symbol percentage less than 66% and the actual dollar size less than $160MM.  That means a 3pm entry and a hold to 4pm close.  No thinking.

Now that 4pm exit was not the best, and at the end of the month we will have 7 months of MiM data to play with and I will begin adding scaling into my mechanical trading, but for now it is easy entry and exit.

if you have streaming issues, please let me know.  info@mrtopstep.com

Date Of Signal Direction x:00 Entry/Close x:20 Entry/Close x:30 Entry/Close
1/6/2013 Short 3.23 5.31 4.71
1/10/2013* Short 1.58 -0.26 -0.67
1/13/2013 Short 2.65 0.63 -0.10
Total 7.46 5.68 2.94

* – NFP Day before and day of.
** – New Year’s Eve / End Of Year

If you want to join the meter readers you can go to: Join the MiM

MiMlogo 1501 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807


Comments about TLT (Twenty year Bond ETF):

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image thumb90 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Interest rates continue to fall and there appears to be no fear in increased tapering.   I now have 105.50 as the upside target where perhaps we should see some resistance and a trip back to the 104 area.

>>> You can follow me on Twitter  @redliontrader


Breadth Charts in Full:

Zweig Breadth Thrust

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image thumb91 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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See featured chart above.


Cumulative Volume Index:

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image thumb92 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Are the gatherings going to hit the streets today?


Number of NYSE issues trading ABOVE their 40 day moving average (40DPI):

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image thumb93 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Watching.


New Highs / New Lows ratio chart :

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image thumb94 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Makes you wonder.  This did not go down very far for such heavy selling.  We did 150 new highs on the NYSE… watch today for the century mark. 


Trenders

Short Term Trender -  McClellan Summation Index:

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image thumb95 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Neutral.


Long Term Trender -  Cumulative 4-week Highs – Lows (the fat lady):

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image thumb96 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Neutral.


Parting Shot: 

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image thumb97 Long way down, the adventure for 2014 has just begun $ES F 1826 x 1807

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Over the weekend I just finished my adventure with Ewan McGregor and Charley Boorman.  I feel like we are best pals after riding BMW cruising bikes from the northern tip of Scotland, through Europe and the boot of Italy and then down through Africa to the southern tip.

With a production staff and two support vehicles our adventure was well captured and you quickly learn that although Ewan can be a bit of a whiny boy, that is all offset by enjoying his reaction and interaction to the people and events they confront.

It was a great reminder that despite all the conveniences of home (like sitting on a warm couch watching NetFlix videos streaming over broadband), we still live in a big world that has areas of untouched beauty. Well worth the ride.

Thank you for Reading -
Marlin aka RedlionTrader @redliontrader

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