Results of Tuesday’s Best S&P Futures Turning Points: Shorting 4799.25 stopped out. Buying the breakout failed as well.
Today’s Best S&P Futures Turning Points (consider wider stops and less size in fast moving markets):
Buy 4739.00 stop 4733.25. Short 4830.50 stop 4835.75.
The World Index: (+100/-100) remains at -7 with most major world markets quiet.
Catalysts: Crude Oil Inventories @ 10:30. 10-year bond auction @ 13:01. Fed’s Williams @ 15:15.
Quick Tip: The Levels of Demand
All markets are influenced by the forces of supply and demand. More demand than supply will push a stock price higher.
But is all demand equal?
The least influential source of demand is the investing public. Their trade size and knowledge of the future performance of the company are minimal.
The next tier of influence is the institutions. Their trade size and knowledge of the future performance of the company is much better.
The top tier of influence are the C-level executives running the business. No one knows better than they do how the business is likely to perform in the future. Small investments by these insiders don’t represent significant demand but large investments certainly do.
If you want to see the evidence of just how influential this key level of demand can be on a stock price, and learn how to trade it, join us tonight, Wednesday January 10th @ 7 PM ET for a live demonstration. Click here to register.
Trade Fearlessly,
Mike Siewruk
P.S. Forward this blog to your trading buddies. Share in the wealth!
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