Stock Market Trade Signals from Viditrade - 08-17-2015

Proper context can start the day with a solid win and make all the difference.

CHARTROOM LINK(s)
o Win XP-Friendly entry
o non-xp friendly (ilinc)
(pre-open Market Tour begins at 8:55 ET)

Through the prior close...
Thursday''s late-afternoon''s slide from testing 2089.00 was a suspicious lot of pessimism to appear suddenly, and it had stopped magically at the critical 2077.00 support. And it left "unfinished business above" at 2091.00. Not gapping open sharply in either direction Friday made the balance of the session likely to range choppily in the morning, and then to trend higher into the close. The choppy morning did resolve up, but only to test its minimum objective at 2088.00.

Overnight action''s new info...
Sunday night''s open firmed immediately to neutralize the 2091.00 attraction, and firmed a little further. Eventually, a 6-1/2 point slide attacked 2085.00. The slide had been retraced almost entirely before Europe''s opens, which triggered a surge to 2094.50. That reversed quickly back down to fresh lows attacking 2084.00. Its reaction has been consolidating between Friday''s 2087.25 cash session and 2089.50 futures closes.

If, then...
Extending higher at all Monday is likely to extend higher a lot, to 2095.50, 2099.25 and potentially also to 2105.50. But extending higher also means not quickly rejecting an early gain. Was the overnight failed surge coming out of Europe''s opens just a warning of that rejection, or was it foreshadowing it? It would be the actual rejection, itself, if its reversal were to extend down much lower here.

First Trade...
Exiting the open at 9:45 above 2093.25 would be likely also to trigger the 2091.00 bias-up signal 30 minutes later at 10:15. Exiting the open under 2082.00 would be likely at least to test the 2080.50 bias-down signal. Exiting the open under 2077.00 would be likely to trigger bias-down at 10:15.

Pre-open dive holds ultimate support.

The pre-open drop had extended to test this morning''s 2080.50 bias-down signal as support. In fact, that was the opening print. Its reaction immediately plunged to 2074.75.

Consolidating there under the 2077.00 preliminary level eventually began firming. And that firming eventually formed a buy setup. The 2080.50 bias-down signal was overlapped within 3 minutes of 10:15 to invoke the grace period. But that was on the way to within 1 tick of 2088.00 tick.

The no-bias signal puts into play an offsetting test of the 2091.00 bias-up signal, Back under 2082.00 and 2080.50 would be likelier to probe fresh lows around 2073.00.

MON afternoon signal (triggered at 1:20 ET) SPX ES Bias-up: above 2098.25
2094.50
...would target 2103.50
2099.75
Bias-down: under 2089.75
2086.00
...would target 2084.75
2081.00
Signal status: BIAS-UP FAQ INTRO VIDEOS #1 and #2 1. At 1:20, trading above the bias-up signal or under the bias-down signal would put into play a test of its bias-up or bias-down target.
2. Not triggering either bias signal at 1:20 would be "no-bias," and the bias signals should define the bias environment''s range.
-- A test of the opposite bias signal would be targeted if one bias signal was tested before triggering no-bias.
3. Touching the bias signal within 3 minutes either way of 1:20 would invoke a grace period through 1:30 to trigger a late signal.
-- "Late" signals don''t require testing the opposite bias signal, but it''s still likely.
4. Still testing the bias signal at 1:30 after invoking the grace period would trigger "noN-bias," with no bias influence.

A daily summary of high-profile members of several complexes... View a more detailed discussion of each chart at the end of today''s Market Wrap.

Eurodollar Sep Contract (EC, ETF: (FXE, UUP))
Sunday night''s dip tested the 1.1075 reversal signal and bounce back up to 1.1120. But only temporarily, as the morning''s low was retested. A second consecutive lower close Tuesday would confirm that momentum had reversed down.

Gold Dec Contract (GC, ETF: (GLD))
Two days of testing the 1112.00 pullback limit resolved up before Monday''s open gapped up to test those two days'' 118.00-1120.00 highs. But the opening surge didn''t extend any higher. Neither was it rejected, so extending higher overnight would be likely to trend up Tuesday, too.

Silver Sep Contract (SI, ETF: (SLV))
Friday''s deeper test of its "lower prior highs" was almost rejected into Monday''s gap up. But the open''s surge didn''t extend higher as the balance of the session ranged sideways in positive territory. Back under 15.15 would probably test 14.90 as support. But almost any strength above 15.40 would be credible for extending higher.

30-year Treasury Sep Contract (US, ETF: (TLT))
Probing the 158-26 buy signal at Monday''s open extended up toward last week''s prior intraday highs, with potential back to last week''s 160-22 overnight highs if not rejected Tuesday.

Crude Oil Sep Contract (CL, ETF: (USO, USL) (UWTI-long, DWTI-short))
Fresh lows were probed Sunday night under 42.00 and even lower intraday Monday to test 41.65. The trend remains down so long as 43.10 now holds as resistance.

Natural Gas Aug Contract (NG, ETF: (UNG, UNL))
Friday''s extension of Thursday''s EIA reaction had attacked 2.77 support. Sunday night''s gap down pole vaulted over it to probe a nickel lower Monday, back to the two-week old prior low. Having touched a relevant level, closing back above 2.77 would now suffice at least to test the range''s 2.88 upper-end.