November 5th, 2012
in Gary's blogging
Closing Market Commentary For 11-05-2012
Markets continued to melt up today on really anemic volume which can be attributed to the algo computers. Very weak market and stats and I wouldn't expect much volatility tomorrow. Most likely another lackluster session in a tight trading zone. The averages stayed with in 'zone' parameters and could easily move in either direction without breaking resistance's.
The RRR** was very narrow at the opening bell and even more narrow at the closing bell, just as it has been for the past month. Any trades today will probably end up on the unprofitable side as long as this market remains flat or continues to have low volume.
I have issues with some traders in that they are saying there are setups for day trading. This is true enough, but the trading range is so narrow that way too money has to be put on the table just to get back meager gains.
Swing trading is also at your own risk and being the market is at a crossroads of sorts, I would prefer to sit on my hands rather than risk guessing incorrectly as the markets are currently untradable. Guessing where the market is going to be tomorrow or next week, at this time anyway, is a foolish endeavor.
The DOW at 4:00 is at 13112 up 20 or 0.15%.
The 500 is at 1417 up 3 or 0.22%.
The $RUT is at 819.54 up 5.17 or 0.63%.
SPY is at 141.75 up 0.19 or 0.13%.
The longer trend is up, the past week's trend is bearish and the current bias is up.
WTI oil was up today and is at 85.76 trading between 84.35 and 85.90 and the bias is positive.
Brent crude was down early then went up and is now up at 108.03 trading between 108.16 and 104.50 and the bias is positive.
Gold was down earlier then went up to the early morning highs. Currently trading up at 1684.43, trading range is between 1685.05 and 1672.71 with a positive bias.
Dr. Copper is at 3.47 down from 3.50 earlier.
The US dollar rose from 80.59 earlier to 80.92 and is currently trading at 80.83.
The 500 at the close.
The DOW at the close.
** RRR = Risk Reward Ratio
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Written by Gary