Thursday, December 31, 2009

Every Day Is A Gift / Emini Futures Trading - Thursday December 31st, 2009

(QQQQ)(DIA)(SPY)(SFEG)(GLD)

"Teach us to number our days aright, that we may gain a heart of wisdom"
(Psalm 90:12, NIV)
Here is heavenly arithmetic; an application of numeration seldom thought of even by the wise. May we, during the next year, so measure out our time, that we may apply our hearts to Jesus, who is the true wisdom. (Listen Now)

The New Park Street Pulpit

Watch-night Service

(No. 59)
Held at New Park Street Chapel, Southwark.
On Tuesday Night, December 31, 1855, by the
REV. C.H. SPURGEON

"Arise, cry out in the night; in the beginning of the watches pour out thine heart like water before the face of the Lord"— Lam 2:19
If it be enquired why I held a Watch-night, let the answer be—because I hoped that the Lord would own the service, and thus souls might be saved. I have preached at all hours the gospel of Jesus, and I see no reason why I may not preach at midnight, if I can obtain hearers. I have not done it from imitation, but for the best of reasons—the hope of doing good, and the wish to be the means of gathering in the outcasts of Israel. God is my witness, I would preach every hour of the day, if body and mind were equal to the task. When I consider how souls are being damned and how few there are who mourn and cry over them, I am constrained to cry with Paul, "Woe is me if I preach not the gospel." Oh, that the new year may be far better than the last. (more)

Well friends, here we are at the end of another decade. It's seems like only yesterday we were up against Y2K, yet in just a few hours, 10 years will have passed. How have you invested your time? How will you invest it over the next decade? We can always make a little more money, but we can never make more time. We can spend it, we can waste it, or we can invest it. I encourage you in this coming year to cherish every day for the beautiful God given gift that it is. Every day is a day to be thankful, gracious, humble, and one more opportunity to fulfill the destiny that God created you for. Invest your time in that which is eternal.

Now may the Lord bless you, and lift up the light of his countenance upon you, and give you peace! May you, during this year of grace; receive much grace; and may you proceed onwards towards heaven!

Now, my friends, in the highest and best sense, I wish you all a happy new year.

S&P 500 Emini Futures Trading


The final trading day of 2009 was a very quiet methodical trend day down. On the Globex session price hit resistance at our 1124/1125 zone. 30 minutes after the opening bell price slid below our EMA and then consolidated for roughly 4 hours at our 1117/1118 zone before trading through and continuing the trend. We did see a small rally into the close but no fireworks. All things considered, with all the different dynamics in play, the best label I have for today's action would be "The Curious Close of 2009"

Here's wishing you and yours a Healthy, Wealthy,
 

Wednesday, December 30, 2009

An Attitude of Gratitude / Emini Futures Trading - Wednesday December 30th, 2009

(QQQQ)(DIA)(SPY)(SFEG)(GLD)

"O give thanks to the Lord, for He is good; for His mercy and loving-kindness endure forever"
(I Chronicles 16:34 AMP)
Today's Show-
An Attitude of Gratitude
(listen now)

Blessings

If you woke up this morning with more health than illness, you are more blessed than the million who won't survive the week.

If you have never experienced the danger of battle, the loneliness of imprisonment, the agony of torture, or the pangs of starvation, you are ahead of 20 million people around the world.


If you attend a church meeting without fear of harassment, arrest, torture, or death, you are more blessed than almost three billion people in the world.


If you have food in your refrigerator, clothes on your back, a roof over your head and a place to sleep, you are richer than 75% of this world.


If you have money in the bank, in your wallet, and spare change in a dish someplace, you are among the top 8% of the world's wealthy.


If you hold up your head with a smile on your face and are truly thankful, you are blessed because the majority can, but most do not.


If you can read this message, you are more blessed than over two billion people in the world that cannot read anything at all.


You are so blessed in ways you may never even know.


by Stephen Eardley






S&P 500 Emini Futures Trading 


 


Interesting story in the above chart. As we know, the S&P 500 Emini traded just over 500k contracts yesterday during the day session in a tight 6 point range. Once the London session opened, it only took 10,000 contracts to drop the market a full 6 points... Really?
The Globex sell-off stopped at our 1113 weekly level (to the the tick) and began a 9 point rally which required 160k contracts to complete. My point is this, deep pockets, institutional buyers, or anyone capable of leveraging 10,000 contracts, can dramatically affect a thin market, especially around the holidays. Any holiday!
Let's do the math -
I can trade/leverage 1 Emini contract with $500 during the day session.
At 3:00AM in America (my time) London opens for their day session.
We all know the costs of margin/leverage increases overnight. Right? Why?
Funny you should ask. Perhaps you should even ask the Fed, but I digress.
The market closes and my margin rises to $2,500.00 per contract, yet a fellow across the pond can trade the same contract when his market opens for you guessed it - $500.00  hmmm...
Now don't get me wrong, the boat floats both ways. When I'm enjoying a $500 margin he's potentially faced with $2,500 on HIS overnight which is our afternoon. So before I create any more confusion, let me get to the point. To leverage those 10,000 contracts last night that moved the market a full six points would have required a London trader to have at least the equivalent of $5m US in his account. To take that same trade an American would need $25m US in his account. Now don't forget the boat floats both ways across the pond.
Bottom line, the market moved 6 points and no matter where you live, the S&P 500 Emini pays $50 US per point / per contract. So let's just say you made the perfect trade, and you caught all 6 points. 10,000 contracts X 6 points X $50 = $3,000,000.00 US profit less commission. Right? The London trader could have potentially made $3m US with only $5m in his account. The US trader needed $25m US to potentially make the same $3m US profit.
Did I mention the boat floats both ways?
Did you catch the part about how relatively few contracts can move price dramatically in a thin market? Did you know that even outside of the holidays the Globex/London session is dramatically thin compared to the US market?

Excellent!
As  you know, most of my daily guests as well as myself tend to hang our hat on the fact that when Wall Street closes we go to cash.  When Canary Wharf closes, they go to cash. I believe what may be missing from my business plan is a trading account with a UK broker. Do I want to trade overnight with a $2,500.00 margin? NO! What if I could trade it for $500 through my Canary Wharf broker? Well, the good news is - I can. So can you. You'll still pay taxes. This is no Ex-pat Underground Tax Evasion Scheme, it's simply smart business. The Globex session offers beautiful moves, and depending on where I am, at any given time, I can trade either market without being penalized.
You know I love to travel. We've been to Paris this year as well as Hawaii. In April we're off to Ecuador, Peru, Machu Picchu and the Sacred Valley of the Inca's. And you heard me speak the other day about my heart's greatest desire, to build a trading floor in Uganda for the graduates of New Hope Orphanage & School. And between satellite technology and hotel wi-fi, it's all quite doable.
Do I have a UK account yet? No
Is this one great big advertisement for a Canary Wharf broker to solicit my business?
Maybe =)
Now don't run and jump the gun. Do your own due diligence.  If there is an issue with anything in this post that I'm not aware of, please let me know.
CFRN is no one man show.  CFRN is a team of believers from around the world coming together in one place to share -  Knowledge, Questions, Success, Trials, Tribulations.
My friend, "Whoever you are, wherever you are, you are not alone."
Use our Forum
Use our Chat Room
Use our Blog

I do have one more chart for you tonight. At the close  of today's show I talked briefly about the Descending Price Channel the market was trading in. At the time, we were in the middle of the channel. I stated that one of two things must happen, we trade to the top or bottom of the channel. Price did in fact break out of the channel to the upside and then made a picture perfect pullback to our 1121 level which was also the top of the top of the channel and rallied into the close and the Globex as well.






Our broadcast tomorrow will be early. We have to make it to the bank, purchase cashiers checks, and present them at the Tax Assessor's office with an "Attitude of Gratitude". Amen?

Tomorrow will be our final broadcast until 2010.


If you can read this blog - "Thank a Teacher"
If you can read it in  English - "Thank a Soldier"

In everything you do - "Thank God"
As always,
Pray Hard & Trade Safe!



Tuesday, December 29, 2009

A Door Of Opportunity / Emini Futures Trading - Tuesday December 29th, 2009

(QQQQ)(DIA)(SPY)(DJIA)($INX)

"I know all the things you do, and I have opened a door for you that no one can close"
(Revelation 3:8, NLT)
Open Doors was the theme of today's devotional and we also had a quick chat with David Marsh regarding our upcoming Webinar and release of his new Pro Indicator Version 2 and Dow Emini Advanced Video Series. We believe this will be an incredible Door of Opportunity for our trading audience as we step into 2010.  (listen now)
 
S&P 500 Emini Futures Trading

The market bounced nicely off the open at our 1124 level and rallied up to our 1126 level (1126.25 to be exact) and then rolled over offering a 4 point opportunity on the short side. As we were closing out the show we discussed a trade that was shaping up and suggested a limit entry at 1123.75 with a stop just over 1125. Click the chart above for a close-up view of how it played out.

Overall a lackluster day with slightly higher volume than yesterday and another tight 6 point range. We look forward to 2010 and the new opportunities that will avail themselves in the markets and here at CFRN.

As always,
Pray Hard & Trade Safe!



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Monday, December 28, 2009

The Gift of Giving / Emini Futures Trading - Monday December 28th, 2009

(QQQQ)(DIA)(SPY)(GLD)($INX)

S&P 500 Emini Futures Trading





Not much to report today. Narrow 6 point range which traded from our 1120/1121 zone up to our 1124/1125 zone, back down to 1120, and finally back up to 1124. Volume was again light with less than 473k contracts changing hands. Tomorrow looks to bring more of the same but don't be lulled into a false sense of security. We issued a caveat last night regarding trading activity this week and we feel it bears repeating - Tax Selling, Window Dressing, Terrorism

Under the Terrorism heading we have officially added Weaponized Suppositories as the next possible radical innovation. If you already think tightened security measures have made flying a "pain in the rear", just wait till you get a look at the TSA's new Security Directive for 2010.

CFRN Will Be Sponsoring A Webinar Next Week
Details Tomorrow

The Gift of Giving
We promised some pictures from the Christmas Party at New Hope Orphanage on the show today -


 
 
 

We did all this for 1,000 orphans, for $1,000.00
Our monthly budget is $10,000.00
As 2009 draws to a close, please consider a tax-deductible donation to New Hope Orphanage.
 




Sunday, December 27, 2009

Last Show Before Christmas / Emini Futures Trading - Tuesday December 22nd, 2009

(QQQQ)(DIA)(SPY)(GLD)(SLV)

Our final official broadcast of 2009 was Tuesday December 22nd. (click here)

It's now Sunday evening, the house is quiet, and yes... it was a wonderful Christmas.

I know that in the week leading up to the big day some of my commentary may have sounded a bit Scroogish, but I offer the following as evidence that I'm really not Ebenezer.

I put these up myself - (ok the wife helped a little)














And yes the mall was "Holiday Hell" but these smiles made it all worth it.

































So you ask "What does this have to with trading?"
Now who's the Scrooge?

I hope your Christmas was equally as wonderful and that on some level you were touched in a special way not by Target, or Tinsel, or Tra-La-La-La-La, but by family and friends and most of all, in your celebration of the birth of Jesus Christ.

S&P 500 Emini Futures Trading
Let's take a quick look at what happened since our last broadcast.



Tuesday our last broadcast day, the market repeatedly found support at our 1110/1111 zone. On Wed morning the market dipped one last time to rattle the door knob at 1111 (1111.25 to be exact) and began a light volume climb that took it to our next level 1124/1125 on tonight's open.

Our next official market broadcast will be January 4th, 2010. We will however, offer a live daily devotional this week @ our regular time through New Year's Eve and we may even have a special guest or two. Although we are not trading this week for reasons previously discussed, here are the areas where in our opinion, the market will be forced to make important decisions that can become great trading opportunities.

1133/1134

1126/1127

1124/1125

1120/1121

1117/1118

1113/1114

1107/1108

Ranges are exceptionally tight this week and a major breakout in either direction would come as no surprise. From tax selling to window dressing to terrorism........
Be careful out there!


As always,
Pray Hard & Trade Safe


Blessings to you and yours,


Monday, December 21, 2009

SFEG / Santa Fe Gold Corp. CEO Dr. Pierce Carson Provides Shareholder Update

(SFEG)(GLD)(SLV)(ABX)(FCX)






W. Pierce Carson, President & CEO, Director







R.J. Bommarito,
Shareholder Communications



 SFEG / Santa Fe Gold Corp. CEO Dr. Pierce Carson Provides Shareholder Update And Announces Appointment Of R.J. Bommarito As Head Of Newly Formed Shareholder Communication Division -  

Click Here For Interview


Why consider an investment in Santa Fe Gold Corp?

Santa Fe Gold is a rapidly growing mining and exploration company focused on acquiring and mining gold and silver properties. But what sets it apart and makes it a compelling investment? The key ingredients: Quality assets; experienced management; and a superior business plan for dynamic growth. Near-term cash flow from the Summit silver-gold mine provides the company a significant edge in today’s difficult market for junior miners. Management intends to leverage Summit’s profits to expand the Summit operation, develop the Ortiz gold project and acquire other quality precious metals assets. Look for expanding revenues and greater market recognition in the years ahead!
  • Proven management team – extensive experience, impeccable credentials, disciplined.
  • Management ownership in excess of 25%.
  • One mine is nearing production and a second is in the pipeline.
  • Operating costs are estimated to be less than $300 per ounce of gold produced.
  • Resources exceed 2 million ounces of gold with excellent exploration upside.
  • Santa Fe Gold offers significant exposure to silver as well as to gold.
  • Industrial mineral assets provide diversification.
  • Properties are located in the politically stable United States.
  • Strategy for growth through increased production, acquisition and/or merger.
  • 36 potential acquisitions have been identified.
  • In response to the global economic crisis, governments around the world have committed trillions of dollars to bailing out the economy and are facing large deficits. These actions will inevitably lead to continued devaluation of the dollar.
  • Gold prices have risen in each of the past seven consecutive years. From the beginning of 2002, gold has risen 200%, or a compounded rate of about 20% per year.
  • Analysts predict gold will surpass $1,500 per ounce in coming years.
  • In the recent period of extreme market drops and volatility, gold has held up best and has been the best investment. Even in a climate of recession, emerging gold mining companies might be expected to do well for their investors. Such was the case in the 1930’s when Homestake Mining rose by 600% while the Dow at one point lost 90% of its value.
  • Santa Fe Gold is undervalued considering its substantial resource base and in light of its imminent production. Market revaluation can be anticipated in 2010 as the company transitions from an exploration company to a producing company.
Investor inquiries click here.



Stay tuned to  CFRN for upcoming Interviews!

Santa Claus Rally Or Just A Big Fib? / Emini Futures Trading - Monday December 21st, 2009

(QQQQ)(SPX)(SPY)(UDN)(UUP) 


Wall Street Kicks Off Holiday-Shortened Week On Upbeat Note

12/21/2009 4:41 PM  ET




TOP MARKET NEWS


GM Ropes In Former Microsoft CFO As Finance Chief


Jabil Circuit Swings To Q1 Profit


Stocks Rally Amid Upbeat Healthcare Reform, Corporate News - U.S. Commentary


Stocks Holding Onto Significant Gains In Mid-Afternoon Trading - U.S. Commentary


Obama Praises Senate Vote Clearing The Way For Health Reform
(RTTNews) -  Stocks saw notable gains on Monday, as some traders bought into the market amid progress on the healthcare reform front and continued revitalization in corporate activity. The day's upside may have been limited by light trading volume amid the Christmas holiday-shortened week. (more)


 S&P 500 May Climb 6% on Santa Claus Rally: Technical Analysis 
By Shani Raja (Bloomberg) --
The Standard & Poor’s 500 Index may end the year as much as 6 percent higher if a typical December rally drives the gauge past a key resistance point, according to technical analysis by Bell Direct’s Julia Lee.

The index, which closed yesterday at 1,096.08, has climbed through December in 16 of the past 20 years, said Lee, an equities analyst in Sydney. Further gains this month in what’s sometimes known as a Santa Claus Rally could push the gauge past 1,121, the 50 percent retracement level that Fibonacci analysts identify as a point of significant resistance.

“The 1,121 level is the 50 percent retracement from the high of the bull market in 2007 to the low of the cycle in 2009,” said Lee. “It will be a challenge to break past that, but if it does, my guess is that the index will drift even higher to 1,160. If it doesn’t, we’ll probably just see a sideways movement.”
The S&P 500 tumbled 57 percent from its high on Oct. 9, 2007 to this year’s March 9 low as the global recession deepened. The gauge, which has rallied 62 percent since then as government stimulus measures helped shore up economic growth, has climbed less than 0.1 percent so far this month.
The S&P 500 had its biggest December gain in 1991, when it rose 11 percent. Its steepest decline was 6 percent in December 2002. The index has posted an annual gain in 14 of the past 20 years.

In technical analysis, a Fibonacci retracement is created by taking two extreme points on a stock chart and dividing the vertical distance by the key Fibonacci ratios of 23.6 percent, 38.2 percent, 50 percent, 61.8 percent and 100 percent, according to Investopedia.com.

Once these levels are identified, horizontal lines are drawn and used to identify possible resistance and support levels. If a price breaks through one of the levels, it may signal a move toward the next resistance or support point.

To contact the reporter on this story: Shani Raja in Sydney at sraja4@bloomberg.net.

 CFRN S&P 500 Emini Futures Daytrading Results



Sloppy, choppy action might best define the ES today. Price broke out above our 1104/1105 area in pre-market trading and spiked to just over the 1110/1111 zone before reversing. For the past 2 weeks our weekly levels have included the 1107/1108 zone. Although those numbers do not appear in this weeks calculations, we did highlight them on the chart above in yellow to show that even though we may have forgot them, the market certainly did not. In fact on the move up, price turned down just enough to touch the doorknob one last time at 1107 (to the tick) before relenting to move higher. Henceforth, such obsessive market behavior will be referred to on this blog and radio program as "pulling a Monk". If you've never watched an episode of Monk, please do and you'll fully understand what we're trying to convey.

Reminder - Tomorrow will be our final official broadcast of 2009.

Merry Christmas!

Sunday, December 20, 2009

Weekly Trading Zones / Emini Futures Trading - Friday December 18th, 2009

(QQQQ)(DIA)(SPY)($INX)(GLD)

Friday our weekly levels continued to highlight opportunities on both the long as well as short side for S&P 500 Emini Futures Day-Traders.













We only have 3 1/2 trading days this week, and our final pre-holiday broadcast will be Tuesday. Price action will most likely be somewhat subdued, but these are the areas which if reached, are where we believe the market will be forced to make decisions. Our bias indicator turned bullish Friday afternoon and remains such in Sunday night's early trading. Should prices spike on the London session to the 1104/1105 area, we will be on the lookout for signs of weakness and a potential reversal.

1124/1125

1110/1111

1104/1105

1096/1097

1090/1091

1082/1083

1067/1068


One thing to remember, the markets in general are up over 60%.

The question to ask is "How will this effect tax selling?".

Will investors and traders choose to wait until January 4th to take profits and in doing so, delay capital gains taxes for 15 months? One thing is almost certain in our opinion -  Equities that have failed to perform in this broad based rally, will most certainly be sold to offset any tax liabilities investors are faced with. This line of thinking does present the basis for the potential of a sharp correction in early January which could in turn lead to some potentially excellent buying opportunities in the first quarter of 2010.

And let us not overlook this warm and fuzzy tidbit -
Goldman Sachs employees will divvy up over $19 Billion in Christmas bonuses in the worst economy since the Great Depression. Their largest bonus payout in history.

Dear Santa,
All I want for Christmas is to be half that smart.

Blessings and Merry Christmas!


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Thursday, December 17, 2009

Emini Trading Strategies - CFRN Exclusive Interview w/ David Marsh

(QQQQ)(DIA)(SPY)($INX)($ES)







  About David Marsh

I have been involved in the markets since the early 1990’s. I started with futures trading, then moved on to options trading, graduated to stock trading, then full circle, back to futures trading—where I will stay permanently. During this time I also learned daytrading and swing trading.

When I was 21 years old I drove all the way from my home in Buffalo, NY to Chicago to go to a $3800 Options Class. It was a great course, I learned a lot and was able to visit the CBOT (Chicago Board of Trade)—I even bought a CBOT sweatshirt! But when I got home, I was broke, so I had to put everything I had learned on hold and went back to work!

I managed to save up some money and open an account. It only took a couple months and I blew out the account. Once that happened I went back on my quest to find the secrets to trading. I read a lot of books and went to a lot of high priced seminars and even bought some home study courses from the GURUS. I learned about technical analysis and all the different indicators one could use to predict future market prices.

Honestly the first 3 years were tough. I blew out a lot of trading accounts and lost tens of thousands of dollars. I realized trading is a tough business but I moved on—knowing one day I would find what I was looking for. It took a while but I finally realized that what I was missing was discipline. I had a hard time following through with rules!

I totally changed my thought process on trading. I realized it was a tough business and that if I couldn’t follow rules then I really had no business trading. After that my trading career turned right around!

I then developed a very simple approach to trading. I found 2 indicators that when used together were highly accurate. Of course I back-tested it for several months to see how it worked and to create rules, entries, exits etc. After about 3 months I traded live with real money and the results have been fantastic.

My whole mind set is different. My goal way back was to make a killing in the market. Now that’s not the case. Now I trade for a living! I take a small chunk everyday to make a very comfortable living. I like to see it as an apple tree outside my house. Everyday I go outside and take the apples I need for the day. I don’t try to cut down the whole tree!

I earn my “living” by trading for 1 point a day! Trading for 1 point a day is a very easy goal to achieve. If I need to make more money, I simply trade more contracts. To give you an idea of what 1 point a day can produce, take a look at my Business Plan.

That is why I offer a 30 DAY DOUBLE MONEY BACK GUARANTEE. I know and guarantee that if you follow my strategies and the discipline that comes with it, YOU WILL MAKE ONE POINT every single day you trade.

Click Here for today's interview.

Return of the Pod / Emini Futures Trading - Thursday December 17th, 2009

(QQQQ)(DIA)(SPY)($INX)(GLD)

Now Showing: "Return of the Pod"

The podmaster was all over the podcaster today, checking and re-checking to make sure those of you in Pod-Land would not be disappointed again. As always, just click the headline above to replay today's show. Of course for the sophisticates in Pod-Land, we also offer the ability to subscribe to the daily pod via Apple iTunes and about 78 other various and sundry pod-catching app's. So whether you tune in live and trade along with us, or enjoy the show after the fact, we're just happy to have you as part of the CFRN Family!

Merry Christmas!








S&P Emini Futures Trading













Tonight's commentary will be brief. Go look at the levels listed in Monday night's post, then blow-up today's chart. Those are the same levels you see in play on today's chart. (that's why we call them weekly levels)    
=)

We will be taking time off for the Holiday's beginning next Wed and we will return on Monday January 4th, the first trading day of 2010.