FullyInformed.com

Market Direction Intraday Comments For Oct 31 2013 – MSFT and INTC

Oct 31, 2013 | Intel Stock (INTC), Microsoft Stock (MSFT), Stock Market Outlook

The outlook for market direction today was for a down move. We saw this in the morning and a gradual push back by investors intent of buying what they perceive as bargains here and there. But stocks are showing a number of signs of a weaker outlook so I am trying to keep cash back in the hopes of selling puts at better premiums than at present. Let’s take a look at the one minute S&P 500 to see what is happening so far today.

Market Direction Outlook Intraday – 1 Minute Chart

The one minute chart Intraday chart today shows a return to the early morning sell-off pattern. This is great for my Trading For Pennies Strategy but if you look at the chart you can see that today as of 2:00 the market direction up has failed to capture the morning higher. There are also other signs including a gap in the morning drop which is right around 1761. After the plunge around 10:30 the market recovered but look how it pulled back up right to that gap at 1761. Technically it’s a sign of weakness as is the inability to recapture the morning high. I won’t be surprised to see the market end the day right around either 1762 which was the opening first low or 1761 that early morning gap.

Meanwhile the push back off 1755 was nice to see this morning. The key to this market is 1750. If 1750 is tested then it means holding off further trades until we see if it holds. This is a bull market but the strength has weakened in this rally. All rallies eventually run their course and the market stalls and sometimes pulls back before continuing the rally. Right now it looks like this week we have stayed in the consolidation phase for much of the week.

market direction outlook Oct 31 2013

Market Direction Outlook For November 1

Tomorrow marks the beginning of November. Over the past decade November 1 has been weak about 60% of the time. With those odds I have not made any change to the market direction portfolio which was stopped out on Thursday. I have also not added short ETFs either. I want a clear direction before jumping back in.

Microsoft Stock (MSFT) – Time For Covered Calls?

I’ve had a lot of investors wonder if it is time for covered calls on Microsoft Stock. personally I think it is too early for a certain call. The stock is hanging tough here but it is trending sideways away from the Upper Bollinger Band. The biggest thing I see if that momentum is still good and MACD is still positive but volume is declining. This is tough to judge right at present because the stock did try just last Friday to break out and then turned sideways. It did not fall. The problem is the break-out did not occur either. Usually when a stock breaks out volume increases and that is not happening. By tomorrow perhaps we will get a better idea but you can see how last May-June the $35 level was resistance. I would have thought Microsoft Stock would have broken that resistance now but it has not. This stock might want to head back to just below $35 before attempting again to break out. If the goal is to unload Microsoft stock then I can see covered calls being excellent at this point. If though the goal is to not lose the shares then I really think waiting for a clearer signal is a better move.

Microsoft Stock Oct 31 2013

Intel Stock (INTC)

Intel is looking stronger but now it will be coming up against a lot of resistance as it heads to $25. The question again is should covered calls be used on long-term holdings. Personally I think the stock is losing momentum but could punch through $25 before turning back to rest. If I was holding shares I would be waiting for the stock to break $25 and then sell the $25 if I didn’t mind losing my shares or $26 if I want to try to hold onto them. For Put Selling I am waiting for weakness again before venturing into more naked puts.

Intel Stock Oct 31 2013

Market Direction Close for Oct 31 2013

Into the close I believe we could see the market close around the 1761 1762 level. A green close would be nice but I think there is much for investors to consider at this point so a red close is perhaps in the works for today.

Market Direction Internal Links

Profiting From Understanding Market Direction (Articles Index)

How I Use Market Timing

How I Use Market Timing

Understanding Short-Term Signals

Various Market Timing Systems

Market Direction Portfolio Trades (Members)

Market Direction External Links

Market Direction IWM ETF Russell 2000 Fund Info

Market Direction SPY ETF 500 Fund Info

Search

Select to view all results...

Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors

Recent Outlooks

Stock Market Outlook for Thu Mar 28 2024 – Choppy – Dips Likely – But Higher

Prior Trading Day Summary: On Wednesday investors returned and snapped up stocks that had drifted lower. The SPX bounced at the open and by the close it was up 45 points to close at 5248. The NASDAQ rose 83 points …

Morning Investing Strategy Notes for Wed Mar 27 2024

For FullyInformed Members the morning Investing Strategy Notes for Wed Mar 27 2024 discuss the outlook for Wednesday and comments on a possible correction and what it might entail. There are a number of trade ideas outlined including FedEx Stock …

Stock Market Outlook for Wed Mar 27 2024 – Unconfirmed MACD Down Signal

Prior Trading Day Summary: I lost my power shortly after the markets closed. Articles this evening will be shorter if I can post any. On Tuesday trading volume picked up as stocks fell for another day. The SPX closed near …

Morning Investing Strategy Notes for Tue Mar 26 2024

For FullyInformed Members the morning Investing Strategy Notes for Tue Mar 26 2024 discuss the outlook for Tuesday. As well there are comments on support levels to watch in the SPX for the week. There are a number of trade …

Stock Market Outlook for Tue Mar 26 2024 – Still Bullish

Prior Trading Day Summary: On Monday low trading volumes hindered the chance of a positive close. The SPX saw just 3.4 billion shares traded. This matches the volume on last Friday. While poor , it is also bullish as it …

Morning Investing Strategy Notes for Mon Mar 25 2024

For FullyInformed Members the morning Investing Strategy Notes for Mon Mar 25 2024 discuss the outlook for Monday and the shortened week ahead of the Easter holiday. There are a number of trade ideas outlined including FedEx Stock (FDX), Nike …

Stock Market Outlook for Mon Mar 25 2024 – Dip Likely But Higher Close

Prior Trading Day Summary: On Friday investors took profits ahead of the upcoming shortened Easter week with indexes sitting at all-time highs. On Friday the SPX closed down just 7 points to 5234. For the week the index was up …

Morning Investing Strategy Notes for Fri Mar 22 2024

For FullyInformed Members the morning Investing Strategy Notes for Fri Mar 22 2024 discuss the outlook for Friday. There are a large number of trade ideas outlined including FedEx Stock (FDX), Nike Stock (NKE), Lululemon Athletica Stock (LULU),  and more …

Stock Market Outlook for Fri Mar 22 2024 – Choppy – Dips Possible But Still Up

Prior Trading Day Summary: On Thursday all 3 indexes closed at new all-time highs for a second straight day. Volumes remained decent but stocks are seeing some selling as investors are taking a few profits with the indexes at new …

Morning Investing Strategy Notes for Thu Mar 21 2024

For FullyInformed Members the morning Investing Strategy Notes for Thu Mar 21 2024 discuss the outlook for Thursday following Wednesday’s FOMC interest rate decision and Fed Chair Powell’s news conference. There are a large number of trade ideas outlined including …

Stock Market Outlook for Thu Mar 21 2024 – Higher Still

Prior Trading Day Summary: On Wednesday the SPX, Dow Jones and NASDAQ indexes all closed at new all-time highs. Comments from Fed Chair Powell reaffirming 3 rate cuts in 2024 were still “on the table” was all that investors needed …

Morning Investing Strategy Notes for Wed Mar 20 2024

For FullyInformed Members the morning Investing Strategy Notes for Wed Mar 20 2024 discuss the outlook for Wednesday and the latest FOMC interest rate decision. There are also a number of trade ideas outlined including Chewy Stock (CHWY), SPY ETF, …

Stock Market Outlook for Wed Mar 20 2024 – All About The Fed – Bullish

Prior Trading Day Summary: On Tuesday the morning started with a dip down to 5131 but buyers were waiting for the dip and volumes picked up. Deep dips in a number of big caps like NVIDIA Stock (NVDA) found ready …

Morning Investing Strategy Notes for Tue Mar 19 2024

For FullyInformed Members the morning Investing Strategy Notes for Tue Mar 19 2024 discuss the outlook for Tuesday following Monday’s rally and before Wednesday’s latest FOMC interest rate decision. There are also a number of trade ideas outlined including Chevron …