Shaping Up For A Wild Ride

• October 25, 2001
• Dave Floyd

The release
of some economic numbers today and tomorrow should be adequate to
provide some much-needed direction to the market.  Intraday ranges have
been narrow and very choppy, certainly not the easiest markets to participate
in.  As I indicated a few mornings ago, I have been less active in terms of
“scalping” and extending my time frame out a bit, and took my cue from
a 5-minute chart vs. the traditional 1-minute chart. 

Assuming that there is a adequate
range and volume today, you must step up and take full advantage, given how
fickle the markets have been in dispensing intraday volatility.

** Notice that right
after the release of the economic data at 8:30 AM ET, the S&P sold off right
to its 20-day moving average and the Nasdaq right to its 50-day moving average.
These numbers not only are proving key early on, but are pivotal in determining
future direction.

Key
Technical Numbers

It appears as though the market is
shaping up for a wild ride early on, welcome news for intraday traders, I will
be in TradersWire
when possible sharing with you my observations and other KTNs. 
As always, feel free to send me your comments and questions.

Dave