June Crude Broke Out Today
Each evening we focus on the most interesting aspects for the upcoming trading day. The comments are based on observations of the nightly updates of the Futures and Market Bias pages. They are provided for educational purposes only and are not intended to be direct trading advice. Also, keep in mind that these remarks are made up to 12 hours in advance of the markets opening. Therefore, overnight events may alter the outcome of these observations.
Last night, I mentioned June Crude [CLM9>CLM9] as possible breakout candidate. Today, it broke out nicely. Keep and eye on June Heating Oil [HOM9>HOM9] and June Unleaded Gas [HUM9>HUM9] to see if they play catch up.
June Live Cattle [LCM9>LCM9], on the Turtle Soup Plus One Buy List, gapped lower to new major lows but recovered to close well. This may have shorts trapped on the wrong side of the market. Look for a buying opportunity here.
July Coffee [KCN9>KCN9], on the Pullback From Lows List and mentioned over last few nights, still looks like interesting to me as it continues to pullback from major lows. This combined with fact that it is on Volatility Explosions — Low 6/100 Readings suggests that the next move could be down.
Source: Omega Research.
Best of luck with your trading on Monday!
Dave Landry
Director of Research
PS-Reminder: Protective stops on every trade!