Today’s Market Commentary Thursday June 11, 2009

Well even though we are in a range for the last 2 weeks there are plenty of opportunities for day traders to make money. Also the range gives us well defined entries for a trend trade based on a breakout or breakdown. I continue to watch the 60min 50sma on the indices for support and resistance. We failed them yesterday but managed to close above before it was all said and done yesterday. I am also watching closely the ZM 30-Year U.S. Treasury Bond Futures. As this instrument falls rates go up and we can not sustain a rally if interest continue to rise. Interest rates going up were the impetus of the 87 crash.

We broke the 60min 50sma on the Dow Jones Industrial Average but rallied off of Tuesday’s low and closed above the 60min 50sma. This market keeps getting bid off any pullback but that at sometime will dissipate.

Home on the range. The nice thing about a range is it defines good entries for trades. This is what I am looking to do with today’s range. If we break the high then my upside target is 9000 and if we break the low my downside target is the 20SMA.

**I have no positions as of this writing.