Turn up the Volume!

//Turn up the Volume!

Hawk’s Scan Sentry Report November 26

Today I want to talk about trading and holidays. This past week we celebrated Thanksgiving in the US. Even though many of the markets were open most of the week, for many American traders this was a week to focus on gratitude for the other parts of our lives. One would expect to see very light volume on a week like this and we did. For example, in the S&P futures contract the average weekly volume is 8.6 million contracts/week, but last week it was only 5.25 million contracts. Although some traders prefer to trade the index contracts on lighter volume because the price moves are generally less volatile, I did not participate last week. Like many, I was with family enjoying other aspects of life while I can. For me, trading is a means to an end, not an end in and of itself. I trade to manifest riches, but my life is enriched by my relationships with family and friends.  For those relationships I am grateful.

But now we are in the final month of the year and I expect to see the markets turn up the volume for the next couple of weeks; and I plan to be participating through the last waves of 2012. I want to show you how I am looking at a few of my favorite markets this week. As predicted in last week’s blog, the US indexes rose through the holidays on light volume, and most are currently pressing against resistance levels. They have moved pretty far pretty fast so I expect to see stronger sellers than buyers to start off this week. On the charts below I explain my analysis for several of the most commonly traded markets using some of the most highly regarded technical indicators available. These are used by both institutional and private traders across the globe and are built into many of today’s most popular trading platforms. However, if you are not familiar with these indicators please follow this link to a legend describing these tools.

The Charts and Analysis

Index Futures:


( This leading index has moved up from last Friday’s lows to the next significant resistance level at 2636 and trendline resistance as well. The  Radar 2 Price Leader is overbought, the Radar3 Trend Strength Index is still bearish, and Radar1 Fear/Greed has formed a bearish pullback divergence so I would expect to see this  up-move slow down or reverse early this week.)

Equities Setups:

WYNN- Wynn Resorts

(A bullish pullback from the up trendline preceded by a bullish Trend Exhaustion 1 and Pullback 23. Next target $115.00 )



(Since the price has broken above the high of the Bear Flag consolidation, the Bear Flag breakdown of November 2nd has been negated .We have since closed above the down trendline and are one Trender away from a synchronized bullish Triple Trender. Radar1 Fear/Greed is beginning to indicate that the buyers are regaining the upper hand. I am looking for bullish confirmation in the Radar3 Trend Strength indicator.) 


(This is still a sideways market , dangerous to trade without a clear trading signal. Radar1 indicates that buyers are beginning to step up.  The current range is $89.50 and $84.70).



(We got our bullish confirmation early last week when the Radar2 Price Leader crossed the zero line. Now all three of the Triple Trenders are bullish along with the Radar 3 Trend Strength and Radar1 Fear/Greed. I expect this upward move to continue at least until we see a test of  the down trendline around $1.3100 .)

May the trend be with you,


Jan Arps’ Traders’ Toolbox is not an investment advisory service nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities customers should buy or sell for themselves. Examples presented on this site are for educational purposes only.  It should not be assumed that the methods, techniques, or indicators presented in these examples will be profitable or that they will not result in losses. There is a high degree of risk in trading.  Readers using this information are solely responsible for their actions and trade at their own risk. Readers should always check with their licensed financial advisor .

2018-01-08T07:14:40+00:00November 26th, 2012|Hawk's Picks|