here is camps call for wednesday
programtrading.com
For Wednesday, January 21, 1998
For Execution of Buy/Sell Programs
Our computers are set for program buying at $8.04 and set for program selling at 4.97. Our FairValue is $6.33. If you don't
understand these numbers or the term fair value then CLICK HERE .
Program Trading Pattern Recognition
From yesterday: Now you know why we kept yesterday's pattern to ourselves. In case you were wondering here is the
recommendation for S&P traders from yesterday's report: "Go long on the morning pullback (see pattern recog section for times) for
a bounce through lunch and possibly into the last hour. Look for a few points with 70/30 odds. Tighten stops after 12:30 to avoid a
selloff." This one trade paid for your subscription for the rest of the year.
Most of the patterns matching best for today favor the bears...at least into the last hour. The easy part is the lows...they usually
come in the last hour and usually at 2:30, 2:35, 2:40 (a lot) 2:45, 3:00, 3:05, and 3:15 (a lot). The hard part is hitting the high of the
day. They are all over the place: 8:30, 8:45, 8:50, 9:05, 9:15, 9:30, and bunched around 10:30 (a lot) 10:40 and 10:45; and 11:35 or
11:50. This is a very hard pattern to trade, but one that suggests shorting the early rally and any rally late morning for a selloff into
the last hour and possibly the close. The good news is that the odds of this pattern repeating again today are good at 70/30. So if
you are lucky enough to hit the high with your shorts (puts), the low should take care of itself (with a trailing stop of course). |
