Free Stock Market Research Report by Jason Ng, the man behind The Star Trading System (one of the best option trading systems)

The longest sideways trend in US market history continued last week, eliminating any possible swing trading entries, would this week be the breakout week? As star traders, we certainly aren’t in the business of predicting, when the breakout happens, or even before it, the Star Trading System (STS) would certain give us stars in the right direction so that all we have to do is to follow. Doesn’t take a rocket scientist to follow, right?

The Dow went totally flat last week, closing a mere -0.95% from the previous week’s close. What is of some consolation is the fact that the Dow continues to trade around its monthly 200MA level, which is a level around which the Dow has ALWAYS recovered from. From the short term perspective, the Dow’s once again threatening the integrity of its short term neutral channel , looking for a breach of the 8000 points level with its short term bullish momentum already disrupted. If it does so successfully and follows up to downside, its next target would no doubt be the bottom of its intermediate neutral trend channel marked by the November low.

The first trading week of every month are heavyweight weeks as 2 super heavyweight economic numbers get released; ISM index and Job Report (see economic calendar). Consensus for tomorrow’s ISM index actually calls for a slightly higher number than last month. From the numbers so far, I can only say that the possibility of investors getting disappointed is still far higher.

Star Trading System ’s Thought For The Day : "Every Morning Marks A Brand New Beginning"

Free Stock Market Research Report by Jason Ng, the man behind The Star Trading System (one of the best option trading systems)

The market continue to trade cautiously as no one dares to make the first big move. so far, the market continues to be in a neutral trend, which is the worst possible condition for swing trading. In fact, if you look at the SP-500 chart, the market has been sideways for 2 months already, which is why you guys have not had any opportunities for the past 2 months. The Star Trading System is designed to catch the first instance of an up or down trend instead of making you buy and hold during a neutral trend and then wait for something to happen. So, lets practice the patience required of us.

2009 is the traditional chinese year of the BULL, will we have a bullish year this year? Well, so far, things are shaping up quite nicely with stock markets across the global rallying to the new year beat. In fact, the Dow is once again on its way to the top of its neutral trend channel of about 9500. I expect 2009 to be a bullish year but will it start right away? I am skeptical that any real breakout will happen before peak unemployment numbers and we probably would never know where the peak is until unemployment figure make its first retreat. This Friday’s unemployment rate (see economic calendar) would most probably show another yet higher number, which could spur another round of buying by speculators of peak unemployment rate.

The Dow remains in short and intermediate term neutral trend with a primary bear trend still intact.

Star Trading System ’s Thought For The Day : "Always Follow The System."