Bulls Clear Resistance, Prior Support/ Profit Alert (MGM)/ New Trade …

ByDave Tony market, members, MGM, prior-support, profit, resistance, street, trade, zombies Comments Off

MomentumOptionsTrading.com Mid-Market Update for 8/11/2014

Bulls Clear Resistance, Prior Support/ Profit Alert (MGM)/ New Trade (YHOO)!!!

1:35 p.m. (EST)

Futures were higher throughout the night and ahead of Wall Street’s open which was a bullish sign following my weekend homework. While it is too early to say if the early August weakness has come and gone, the bulls are taking a step in the right direction with today’s follow-through rally.

This week will be pivotal in determining if a short-term double bottom was set last week or if today’s pop is a back test ahead of further weakness. Although the zombies are away on their month-long August vacation, geopolitical risk remains at the forefront along with economic news as 2Q earnings begin to simmer down.

There will still be a number of companies reporting their numbers for the rest of August and into September worth watching but the bigger picture is what is happening during the current quarter and the yearend outlooks.

I talked about trends, trading ranges, and market clues in this morning’s update and the first one I said to watch for is today’s close. So far, so good for the bulls but current levels need to hold into the close.

Heading into the second half of trading, the Dow is up 41 points to 16,595 while the S&P 500 is higher by 10 points to 1,941. The Nasdaq is advancing 36 points to 4,407 while the Russell 2000 is jumping 15 points to 1,146. The VIX is getting hit for 12% to 13.85, down 1.92, and is back below 15.

I have a New Trade for today as well as another Profit Alert. Subscribers, head to the Members Area for the updates and stay locked-and-loaded into the close in case I see additional low hanging fruit for new trades or if I ring the register on additional profits.

Author

Dave Tony