No need to worry about un-tradable
market conditions for eminis these days... Tuesday was a real gem. Short side
early, long side all the way into the close from there. Decent overall range,
deliberate trend, everything an intraday trader could ever ask for!
ES (+$50 per index point)
S&P 500 futures began the day on sell signals,
but those were soon negated as it went 100% bullish from 11:00am EST into the
close. The easy trading for big cash was all on the long side... not a confirmed
sell signal existed into the ramp. Price action dipped at R1 (dashed red line)
resistance before breaking thru, paused at R2 (solid red line) before powering
thru and traded to R3 (not shown) for the session highs to close.
It was buy-side confirmed all the way, easily a
+10pt session potential.
ER
(+$100 per index point)
Russell 2000 futures lagged the ES all day, but
gave numerous long side swings upward. A little more choppy than ES chart, but
several +3pt long trades were certainly there.
ES (+$50 per index point)
Weekly chart view shows price action right back
at the high side of their three-month range. Will this one be the breakout that
lasts & lasts, or just another topping pattern failure?
ER
(+$100 per index point)
Russell trades within a few clicks of all-time
highs again as well.
Summation
You just can't beat bulls off this market with a stick. Every dip is a buying
opportunity...although it seldom lasts. I have no bias or opinion which way
price action may go, nor would I waste time venturing a guess. It will
eventually break up or down and run from there, of course. Three month's worth
of prognostication on anyone's part has resulted in failed predictions all the
way. Easier to simply trade the signals as they come, cut the losers short and
let the runners run. Simple plan, seldom easy but necessary for methodical,
profitable success.
Trade To Win
Austin P
www.CoiledMarkets.com
(Online video clip
tutorials...
open access)
Austin Passamonte is a full-time
professional trader who specializes in E-mini stock index futures, equity
options and commodity markets.
Mr. Passamonte's trading approach uses proprietary chart patterns found on an
intraday basis. Austin trades privately in the Finger Lakes region of New York.
