Wednesday, January 14, 2009
So after a small bounce overnight back up to the 875 area the market gapped down Wed. and continued lower allll day long. There were a couple of pretty good short entries on ambushes in the early morning and even in the late day action. Drawing a fib retracement from the open to the lows of mid morning at 832.50, you would find a ambush short at the 843 level. The market peeked its head over 845 for a split second late in the day, only to rollover and retest the lows the of the day. That was probably the better trade of the day.
Wednesday was full of news driven trading and it will continue that way it seems Thursday as after hours BAC announced that they are running out of money essentially, lol. Also in case you have been on the moon since about 5pm et then you have heard that Steve Jobs is taking a medical leave till June. AAPL stock down hardcore after hours. Honestly its probably a buy (for a trade) at the open.
For Thursday the daily pivot on the ES futures is 849. It looks like we could gap down again at the open as we are now trading 832 presently. If we at all get any sort of gap fill or retest of the pivot point then I wanna be looking to sell it. There is also a possible ambush short just above the 850 area so I would not be taking longs unless we shot back above 860 or so. Should be a interesting day. Lots of news due out before the open so it should be a fun one.