Opening Play for Wednesday 7/16

7-15-2014 11-25-00 PM

 

Good Morning Traders!

Heavy volume marked the session as the divergence between big cap blue chips and small cap shares continued to widen.

The SPs ended the day in the middle of their range and for Wednesday, look for short term resistance and/or support just inside Tuesdays high and low.

Bonds and Tens had two days high to low with a close beneath the daily 5 SMA.  The 2-period ROC is poised for a flip back up a la Buy Day.   As crude  grains and softs have broken down and now are oversold, Copper has held as RS leader.  The consolidation up here suggests an attempt at new 20 day highs.

The summation TICK chart is starting to get oversold.  The 5 period SMA of the closing tick is also starting to get oversold but has not hit extremes that marked bottoms in the past.  At the same time, the DOW is just  testing its all time high.   After three days of low to high in the DOW, will it hold its gains or close back beneath the previous high.  It should be a Sell Short day again, but had this play on Tuesday and bounced back…..

Sps – tough to predict when in the middle of a range, but main levels are marked off on the chart above!

Have a great day!

Linda

 

Tradesheet:

Tradesheet from Snagit

 

 

 

 

 

 

 

 

 

 

BO Markets:

 

BOs from snagit

 

 

 

 

 

 

 

 

 

 

 

Commentary: