Nothing To Do With Luck

September 9, 2002
Don Miller

While this week will include an
unlucky Friday-the-13th trading day for superstitious traders,
“13” continues to provide column and school traders
with substantial profit opportunities that have nothing to do with luck — good
or bad.Â

I’m of course talking about the 13-minute trend on the Qs, SPYs, and their
respective E-Mini counterparts, which has followed through to Friday’s late
afternoon weakness at the open and thus far served as a brick wall on the
mid-morning low volume climb out of the early abyss.

While both indices are forming a potential bearish inverse cup — braced by the
three, 13, and 60 minute downtrend supports — as we approach midday, traders
should take note of the early market pace as the futures market is on the
illiquid side, causing rather volatile price moves on low volume, along with
potential strength price/momentum divergence on the 13.Â

As a result, follow-through may be an issue as was the case on Friday, and
staying on the right side of the three-minute (and even one-minute trend given
the early pathetic pace) for scalpers and the larger timeframes for mini-swings
should keep you out of trouble.Â Positioned shorts may want to consider using
current intraday highs as stops which are north of the current 13-minute
downtrend support for both the Qs and SPYs, if not the trend supports themselves
for tighter management.

QQQÂ Â Â Â Â
MondayÂ September 9, 2002Â 12:15 P.M. ETÂ Â Â Â Â Â SPY