Technical Analysis.


Technical Analysis - NASDAQ 100 & S&P 500

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Market Indicators

Index Last %
NYSE 8481.54 0.19%
NASDAQ 2245.38 -0.27%
AMEX 2161.13 -1.14%
DJI 11288.54 0.65%
DJT 4678.75 0.55%
DJU 515.32 -0.62%
NASDAQ 100 1816.35 0.01%
S&P 100 578.13 0.48%
S&P 400 786.8 -1.09%
S&P 500 1262.9 0.11%
S&P 600 351.95 -0.95%

As of July 3,2008 22:33

@ MarketVolume.com

Best Short-Term Trade:
August
21st, 2002

This week our professional trader was able to capitalize on our volume signals for the NASDAQ 100 index.

Security Return
Call 1 (NDX Sept) +28.3%
Call 2 (NDX Sept) Holding

Total Profit:

+$12,950

Even though all the above trades were somewhat risky, we came out on top with a profit of $12,950

Why do you only have positive trades?
The main reason we have had only positive trades is simply because we have been only been making trades consistent with the market trend, which is currently up. All if our members have access to daily updated market commentaries that explain in full detail the current market trend and what type of short-term fluctuations to expect.

Why buy expensive October Calls?
Even though October Call options are more expensive, they tend of to be less volatile in reaction to market swings, and they don't devalue as quickly as a current month option. By trading options that are at least one month ahead, we protect ourselves from unforeseen short-term fluctuations in the market. Also, if the uptrend continues on a long-term, one can hold these options for a longer period as they increase substantially in value.

We would like to make it clear to our members what the motivation was to make the above trades; therefore, we have created what we Call a 'Table of Motivation', in which we try to make it clear the motivation that was behind each of the above trades.

Trade Motivation MV's Commentary on Members Home Page during the trade
Buy Call 1 MarketVolume's Market Commentary states that the market is currently in an uptrend, and the fact that today there was a very large amount of volume to the downside which made an excellent entry point. Today the market opened lower but was able to recover most of it's losses for the day, but we saw some moderate volume to the upside which could cause the S&P 500 and NASDAQ 100 indexes move lower in the short-term.
Sell Call 1 Due to the large volume spike to the upside of the index, found that the best option would be to play it safe and close all open positions Today the S&P 500 and NASDAQ 100 indexes moved quite a lot lower due to the cumulative effects of volume to the upside over the past several days. Today there was quite a lot of supportive volume to the downside signaling that there is a chance for the indexes to move higher soon and perhaps continue their uptrend.
Buy Call 2 Even though the volume at the entry point for this trade was not very high, decided that the fact that the market is still in an uptrend was justification enough to open a new position. Due to the fact that the market is in an uptrend it's beginning to look like we have to apply less weight to volume to the upside, but we cannot discount the volume to the upside. We still believe the market is in an uptrend, but will have to have a shot-term correction soon.

 

The same principles mentioned above works for trading S&P 500, S&P 100, Dow Jones, and other indexes.

Here is a detailed list of our investor's trades, which netted the above returns:

Date Put/
Call
Ctrcts Contract
Price
Index
Value
Strike VMA Amount Profit
8/13/02 B C1 10 $45.68 925.63 975 1,870,600 $45,680  
8/14/02 S C1 10 $58.63 959.71 975 2,132,000 $58,630 $8,700
8/20/02 B C2 5 $49.34 1,007.60 1,050 1,461,900 $24,670  Holding

Total:

+$12,950

To see any of our past best trades, simply select from the list below.

Date Indicator
December 30, 2002 NASDAQ 100
December 19, 2002 S&P 500 (SPX)
December 10, 2002 NASDAQ 100
November 27, 2002 NASDAQ 100
November 20, 2002 NASDAQ 100 (NDX)
November 13, 2002 NASDAQ 100
November 6, 2002 S&P 500 (SPX)
November 1, 2002 NASDAQ 100
October 25, 2002 S&P 500 (SPX)
September 25, 2002 NASDAQ 100
September 18, 2002 S&P 500
September 6, 2002 S&P 500 (SPX)
August 21 2002 NASDAQ 100 (NDX)
August 14 2002 S&P 500 (SPX)
August 7, 2002 S&P 500 (SPX)
July 31, 2002 NASDAQ 100 (NDX)
July 24, 2002 NASDAQ 100 (NDX)
July 17, 2002 NASDAQ 100 (QQQQ)
July 10, 2002 S&P 500 (SPX)
June 26, 2002 NASDAQ 100 (QQQQ)
June 14, 2002 S&P 500
June 12, 2002 NASDAQ 100 (QQQQ)
June 5, 2002 S&P 500 (SPX)
May 31, 2002 S&P 500
May 29, 2002 NASDAQ 100 (QQQQ)
May 22, 2002 NASDAQ 100 (QQQQ)
May 17, 2002 S&P 500
May 15, 2002 NASDAQ 100 (QQQQ)
May 8, 2002 S&P 500 (SPX)
May 3, 2002 NASDAQ 100
May 1, 2002 NASDAQ 100 (QQQQ)
April 28, 2002 NASDAQ 100
April 22, 2002 NASDAQ 100
April 3, 2002 S&P 500
February 25, 2002 S&P 500
February 8, 2002 NASDAQ 100
January 30, 2002 NASDAQ 100
QQQQ Trading System
QQQQ, SPY and DIA trading signals for conservative mid- and long-7 term traders ...

QQQQ Signals
Past 2 Months

3%

7%

Compound Compound
Margin

As of 7/3/2008


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7/3/2008 - SV1