S&P 500 INDEX MODEL TRADING PLANS for WED. 08/09

With the Fed and Interest Rates not burning issues anymore (at least for now), with major earnings mostly in the rear view mirror, markets are struggling to find a direction and a relevant factor to latch onto. Currently, there doesn’t appear to be any specific factor driving the markets in any direction, leading to listless markets. Our models continue to indicate choppy markets until this resolves in either direction.

The level of 4480-4490 is now the main support level, with 4500 the immediate key level for both Support and Resistance.

Aggressive, Intraday Trading Plans:

For today, our aggressive intraday models indicate the same trading plans as yesterday: i.e., going long on a break above 4486, 4491, 4502, 4507 with a 9-point trailing stop, and going short on a break below 4475, 4483, or 4497  with a 9-point trailing stop. 

Models indicate explicit long exits on a break below 4505, and explicit short exits on a break above 4465. Models also indicate a break-even hard stop once a trade gets into a 4-point profit level. Models indicate taking these signals from 10:01am EST or later.

By definition the intraday models do not hold any positions overnight – the models exit any open position at the close of the last bar (3:59pm bar or 4:00pm bar, depending on your platform’s bar timing convention).

To avoid getting whipsawed, use at least a 5-minute closing or a higher time frame (a 1-minute if you know what you are doing) – depending on your risk tolerance and trading style – to determine the signals.

Positional Trading Plans:

For today, positional models indicate staying flat.

By definition, positional trading models may carry the positions overnight and over multiple days, and hence assume trading an index-tracking instrument that trades beyond the regular session, with the trailing stops – if any – being active in the overnight session.

(WHAT IS THE CREDIBILITY and the PERFORMANCE OF OUR MODEL TRADING PLANS over the LAST WEEK, LAST MONTH, LAST YEAR? Please click here to see for yourself how our pre-published model trades have performed so far! Seeing is believing!) 

NOTES – HOW TO INTERPRET/USE THESE TRADING PLANS:
(i) The trading levels identified are derived from our A.I. Powered Quant Models. Depending on the market conditions, these may or may not correspond to any specific indicator(s).
(ii) These trading plans may be used to trade in any instrument that tracks the S&P 500 Index (e.g., ETFs such as SPY, derivatives such as futures and options on futures, and SPX options), triggered by the price levels in the Index. The results of these indicated trades would vary widely depending on the timeframe you use (tick chart, 1 minute, or 5 minute, or 15 minute or 60 minute etc.), the quality of your broker’s execution, any slippages, your trading commissions and many other factors.
(iii) These are NOT trading recommendations for any individual(s) and may or may not be suitable to your own financial objectives and risk tolerance – USE these ONLY as educational tools to inform and educate your own trading decisions, at your own risk.

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