Market Snapshot for November 15, 2011 (10:42 a.m. ET):
- DOW 12,096.16 (+17.18, +0.14%), S&P 500 1,257.81 (+6.03, +0.48%), NASDAQ 2,686.98 (+28.98, +1.09%), Nikkei 225 8,541.93 (-, -%), DAX 5,933.14 (-51.88, -0.87%), FTSE 5,517.44 (-1.704, -0.03%)
- OIL 99.30, GOLD 1,780.50, SILVER 34.455
- EURO 1.3508, YEN 77.04, BRITISH POUND 1.5805, U.S. DOLLAR INDEX 78.06
Market Provides Solid Setups for Intraday Traders
This week has been a good one for daytraders, while providing a beating to those looking for multi-day runs. As the market congests on the daily time frame, support and resistance levels at prior highs and lows, fibonacci, and moving average levels have all held extremely well and price patterns on the intraday time frames have offered decent reward to risk ratios without a lot of choppy action, although Tuesday afternoon was a bit slow as the Momentum Reversal on the 15 minute time frame developed.
Tuesday morning began with strength after the index futures sold off in response to European weakness in premarket trade. Downside gaps filled quickly, but the market had been down even further in early trade, leaving the indices at resistance fairly early into intraday trade. The response was a two-wave correction on the 15 minute time frame throughout most of the morning before the indices found support at 15 minute 20 sma levels around 11:30 ET. The upside reaction was strong and the market established an equal move on the 15 minute time frame as compared to premarket buying before stalling into afternoon trade. Slowing momentum at this resistance tilted the favor once again to the bears and the market was poised for another selloff heading into the closing bell.
Dow Jones Industrial Average (Figure 1)