Futures - Holday Session - January 18, 2010

In the weekend post, I said

Well, there must be quite a few shorts in the system now. Looking back at 60-min chart, and the Arms Index, NDX is oversold enough to fetch, at least, a bounce early next week if the uptrend is still good and healthy. That may happen after some residual selling. So, I’ll keep an eye on 1850 area (give or take a few points) and see if index holds it for a bounce, and if so, we’ll see if 1890 craters or not.

Future markets are at it nicely. NQ up 12 points, ES up 5 points as I write

I guess there is nothing better for the future traders than low volume off-hour sessions and enough shorts/stops in the system to start a party.

whether this is a start of a genuine move leading to further rallies in the regular hours or not is a matter of guesswork right now.

So, let's just keep our eyes on our levels for now

NDX 1850 - 1890+

S&P 1133-1168

Happy Martin Luther King Day to our American Neighbors!