Today we see that the market was trading in the bearish range based on pivot points and support and resistance that were calculated the night before.  Let’s take a look at them individually.

DIA:

The DIA traded mostly below the pivot point which means that it was mostly bearish for the day.  It was a quite volatile day of trading today.

dia_5min_080207.png

  • We had a volatile day with clear reversals of trends.
  • The trading range was mostly between the Pivot Point and Support 1.  We did have a break above the pivot point and price almost reached Resistance 1.
  • The close of the day ended right around the Pivot Point.

Pivot Points and Price Targets (Supports and Resistance) for Friday, 02/08/08, for DiA to look out for:

  • Pivot Point = 122.46
  • Support 1 = 121.53.  Support 2 = 120.32
  • Resistance 1 = 123.67.  Resistance 2 = 124.60

QQQQ:

The Q’s traded between Support and Resistance but in more bearish territory during the day.

qqqq_5min_080207.png

  • Like the DIA, we had a volatile day with a few reversals.
  • The trading range was between resistance and support.  It was below the pivot point for most of the day so the sentiment would be bearish.
  • The close ended with the ETF looking to start a new uptrend.

Pivot Points and Price Targets (Supports and Resistance) for Friday, 02/08/08, for QQQQ to look out for:

  • Pivot Point = 43.02
  • Support 1 = 42.25.  Support 2 = 42.25
  • Resistance 1 = 43.89.  Resistance 2 = 44.66

SPY:

SPY traded nicely between the support and resistance.  We can see clear trend reversals along with a good deal of volatility.

spy_5min_080207.png

  • Like the previous 2 charts, we see a volatile day with clear reversals of trends
  • Price traded within the range of resistance and support.  Most of the trading was below the Pivot point and so there was more of a bearish sentiment.
  • We ended the session with a new uptrend.

Pivot Points and Price Targets (Supports and Resistance) for Friday, 02/07/08, for SPY to look out for:

  • Pivot Point = 133.48
  • Support 1 = 132.18.  Support 2 = 130.42.
  • Resistance 1 = 135.24.  Resistance 2 = 136.54.

Its interesting to see how the Pivot Points are working out.  As I document this more, I see that we are getting a good picture on how this calculation can truly help out in trading.  It does seem to give us a little advantage of where the trading ranges are.  Let’s keep a close eye on it and see how it keeps on panning out.

Trade Safely!