Avoid trading if market is void of defined setups
Kevin Haggerty is
the former head of trading for Fidelity Capital Markets. His column is
intended for more advanced traders. Kevin has trained thousands of traders
over the past decade. If you would like to be trained by him,
ext. 1
It was a Gold day with the $HUI +3.6%,
(
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and
(
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just below its 200-day EMA of 86.77 and remains short-term oversold. The
(
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-0.2% to 10,460, the
(
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(
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-0.2%. The SPX
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SPX |
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(
SPY |
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The dynamics were actually better than the major indices with a volume ratio of
56 and breadth +736.
The major indices did not provide many solid
daytrading setups, unless, for example, you caught the retracement to the 240
EMA with the
(
DIA |
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PowerRating) which reversed after entry above 104.37, trading up to an
intraday high at 105.19 before fading to close at 104.60. The signal bar and
intraday low (10:35 a.m. ET bar) was 104.22, which is also the 233-day EMA. The
200-day EMA of 104.50 was also re-crossed on the advance. Net net, it was a
decent intraday reflex off the longer-term EMAs.
The energies, because of the gap-up openings and
without any significant retracements, took daytraders out of the game. The
(
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the XBD went out +1.5%, led by
(
USB |
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(
MER |
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(
GS |
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and
(
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The holiday weekend is here, liquidity is thin
today which means more random price movement, so avoid being a "Trading Genius"
and only take the high-probability setups, if at all.
Have a good trading day, and have a great
holiday.
Kevin Haggerty