Market expected to rise as ECB is printing free money

Yesterday futures were down by almost 200 point after the result of France and Greece election, but today market just drop 67 point, out of which half of the losses were recovered. Dow was down 29 point, S&P500 up 0.50 point. Tomorrow, ECB is again printing free money for the market and the market is expected to rally upside. Such, ECB operation also provide cushion for the negative headline and in worst case, stock would ends up flat. You can take advantage of this ECB money printing business and make some easy money by following this link http://www.freefdawatchlist.com/2012/02/how-to-take-advantage-of-ecb-operation.html Since France and Greece election is over, now the only catalyst left for this market to sell off is Moody's downgrading US bank and Greece has deadline till May 17th to form Government and if they don't form Government, there could be some panic. How much this market will drop has to be seen because this market is just absorbing all the bad news and rallying upside. 

ECB and FED are printing money There is no point in fighting FED or ECB, so just follow this market. CNBS will once again credit to something which we will have to see, but there is no economic data coming out of US.

Based on the chart, Dow and S&P500 is in bearish zone, and ideally it should sell off tomorrow. But, every Tuesday for past 6 month, ECB has been printing money and stocks have been rallying. VIX is still in contango, and any rally would mean it would sell off. If today VIX could have rallied 20%, VIX could have moved out of contango into backwardation in which VIX would rise with rally. But it didnt happen, now vix needs 25% rally to move into backwardation.

The first level to check on Tomorrow in Dow for upside is 13098 followed by 13132 which is important break point for the upside. While for the downside, Dow needs to break 12993 followed by 13908.

The first level to check on Monday in S&P500 for upside is 1375 followed by 1382 which is important break point for the upside. While for the downside, S&P500 needs to break 1358 followed by 1355. 

Use technical indicator 20 (simple moving average) sma and 50 sma to better visualise uptrend or downtrend in this manipulated market. If 20 sma crosses 50 sma and 20 sma is up, then the stocks will go higher, if 50 sma crosses 20 sma and if 50 sma is up, then stocks will go lower. In the chart red circle is bearish sign, blue circle is bullish sign. Green line is represented by SMA(50) and red line is SMA(20), while blue line actual stock value. To learn more about SMA check out http://www.freefdawatchlist.com/2012/04/understanding-simple-moving-average-sma.html

Dow was in bearish zone and at the close dow is still in bearish zone. But Dow is expected to rally tomorrow or atleast open higher because ecb is printing money, or else ideally market should have sold off.

Dow 1 month chart is in bearish zone but at the breakpoint where it could go higher.

S&P500 also started in bearish zone and at the close it is in bearish territory but S&P500 is expected to open higher or atleast rally tomorrow because of ecb printing money or else market should have sold off ideally.

S&P500 1 month chart is in bearish zone but at a breakpoint.

VRTX with wide gap

Earnings before market open: ADY, AKRX, BR, CHTR, FOSL, HL, HBC, PCX, SLCA, THC, RST, KWK, PDC, STO, HK

Earning after market close:  coke, cvg, DEPO, EOG, FSC, EROC, JAZZ, JIVE, MDVN, OPXT, EGY, DIS, XOMA, ZIPR, XL

After hours big gainer: TSTC, MOVE, ZIP, JMBA, ULTA,SZYM, NLS, MUX, QTM

After hours big loser:  MAKO, SNCR, DNDN, UDRL, PACB, FURX, EA,CPE, RAX, KKD, CLD

For day trading watchout BIDU, AAPL, PCLN, MA, V, FAS, FAZ, TZA, TNA, TVIX, XIV, SVXY, UVXY, VXX (remember volatility is not a long term investment option use it for strictly day trading) VIX is still in contango so any rally in it would lead to sell off at close. So becareful with UVXY, TVIX, VXX.

This is the worst possible market for trading where things are too manipulative. Just follow this market or completely avoid it and wait and watch for the right time to invest. Good luck.