Friday, February 27, 2009

February 28th, 2009: Say No on the Traders Tax Bill

Knight Capital

Say "NO" on the Traders Tax Bill

Dear Fellow Trader,

We rarely venture into politics, unless we are analyzing the possible reactions to political events in terms of trading opportunities. We prefer to find profits for our clients through chart and sentiment analysis, then to worry about what politicians are doing.

However, a New York Congressman has proposed a Bill that is detrimental to active traders/investors such as ourselves.

Enough so that we are passing along a website link to you which will allow you to sign a petition against the passage of the Proposal and will automatically submit an email to your Senators and Congressman.

The Bill H.R. 1068 basically imposes a 0.25% transaction tax on the sale and purchase of financial instruments such as stocks, options, and futures.

While this may sound minimal, it could amount to a round-trip charge of $50 on a 100 share purchase of AAPL, for example.

And that's on every trade you make.
If you go to this website, you will find more information on the Bill and how to sign the petition against its passage and to send emails/letters to Congress.

Please Do This Today
Rally Congress Website

Good Trades,

David Knight AKA Tiger

This information is not to be construed as an offer to sell or a solicitation or an offer to buy the commodities herein named. The factual information of this report has been obtained from sources believed to be reliable, but is not necessarily all-inclusive and is not guaranteed as to the accuracy, and is not to be construed as representation. The risk of trading futures and options can be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.

Friday Day Trading: Bonus Chart on ES Market

Click on chart for comments and observations of the ES (eMini S&P) market. The long and short of this is how the market reacted to the low of 738.50, that was set on November 21st, 2008. It gapped open lower on Friday's trading.

You can see how the trendlines helped signal the overall direction of the market both to the long side, and the short side of the trading week. If you look at the YM (eMini Dow) chart, then you can see how the market struggled at 7399 level. This was the prior low of the YM back on November 21st, 2008.

YM has made a new low earlier, but it took till Friday for the S&P to show a new low that broke the 21st of November low.

Where do we go from here? Honestly, I don't know. Perhaps, we get a bounce up, or a relief rally next week, or we go down below 7000 on the DOW next week.

In closing, this is why it is so important to remember this saying, "Trade WHAT you SEE, not WHAT you THINK!"

Good Trades,

David AKA Tiger

Wednesday, February 25, 2009

Wednesday Day Trading: Long Gold Trade for $1000 for every 2 Contracts

Click on chart for comments on the Long Gold Market trade.

This trade came after the Red Report on Existing Home Sales. For more information on my Day Trading Method, have you received a copy of my Free PDF eBook, "Trading with the Tiger?" If not, feel free to send me an email at:
As we come to the month end of February, I will be slowing down my trading to a crawl now. This month was a tougher month for the trend traders, but it was overall a profitable month for my Live Day Trading Chat Room.
If I can answer any questions, then please let me know.
Good Trades,

David AKA Tiger

Tuesday, February 24, 2009

Tuesday Day Trading: ES Long Trade inside Trading Range $400 on every 2 contracts

Click on chart for comments on the ES market trade. Today there was an opportunity to consider a short, but we decided to go flat and wait and see what would shake out of the tree.

A little after 10:45AM Eastern time, the eMini S&P showed us a nice LONG entry, that we were able to pull 4 points out of the trade in front of the Trading Range HIGH .. look at chart.

Bernanke is speaking today in front of the Senate, and we also have Obama speaking in front of the congress tonight at 9PM Eastern time. He will address both the house and the senate tonight is his "annual address."

Bernanke will be in front of the House tomorrow ... so caution still is the prevailing sentiment.

Have a great rest of your trading day.

Good Trades,

David AKA Tiger

Monday, February 23, 2009

Monday Day Trading: ES Trading Channel Holds in front of 738.50 Low of Nov 21 2008

Click on chart for comments on the ES market trade.

The low of November 21st, 2008 held today. Will it hold tomorrow?'

Will we GAP Lower tomorrow at the open of the market?

We will see ... in the end ... Trade what you SEE not what you THINK!

Good Trades,

David AKA Tiger