c03 JWBT016-Busby September 30, 2008 14:23 Printer: TBD
42 A FOUNDATION FOR SUCCESS
FIGURE 3.3 The chart identifies the weekly opening prices on the S&P E-mini 500
futures from January 1, 2008, through April 23, 2008. The first price charted is the
yearly open. As each week begins, the opening price for that week is added to the
graph.I track key numbers on the S&P futures and other futures indexes. Figure
3.3 is a recent trend line of prices on the S&P E-mini futures.PEARL 4
Record prices on the first day of the year. This helps you trade with the winners.Stocks and Key Numbers
In addition to open and support and resistance numbers, other numbers
may also be important. One number that is always powerful is 100. When a
stock crosses the $100 mark, there is a strong pull upward to $110. There
is something psychological about the zeros—the bulls get energized and
move things higher. I learned this lesson painfully years ago when I was
short a Merrill Lynch position. I shorted the stock just below the $100
mark. I remember watching Merrill Lynch move up and approach the $100