July Copper, Possible Buy
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.
At the time this is being published, the S&P Globex Futures are trading 1.40 points higher and the Bond Market Futures are trading up 3 ticks.
July Copper [HGN9>HGN9], on the Pullbacks From Highs List, gapped lower on today’s open (a) but reversed and closed well (b). Look for a buying opportunity here as the long term trend remains up.
Source: Omega Research.
The June British Pound [BPM9>BPM9], on the Pullbacks From Highs List, gapped lower on today’s open but rallied to close well. This may have shorts trapped on the wrong side of the market. Look for a buying opportunity here.
June Crude [CLM9>CLM9], on the Pullbacks From Highs List, hit new 10 day lows today but reversed and closed fairly well. This may have shaken out the nervous longs and may clear the way for the contract to resume its bigger picture uptrend. Look for a buying opportunity here.
Volatility Watch
Once again, the June Japanese Yen [JYM9>JYM9] remains on the Volatility Explosions-Multiple Days Readings List. Continue to watch for a larger than normal move (in either direction) as volatility reverts back to its mean.
Best of luck with your trading on Wednesday!
Dave Landry
PS-Reminder: Protective stops on every trade!