This Is Why I’m Expecting A Good Move
Option expiry and no volume on Friday kept charts
chopping sideways in no-range fashion on Friday. Following two previous sessions
of sideways, small range action should set up a directional pop in the next
session or two. Same patterns of sideways buzz, program slam, sideways buzz is
expected until volume returns past Labor Day weekend.
ES (+$50 per index point)
S&P 500 is bullish above 1225 and bearish
below 1222 as we head into Monday morning’s action. The 6pt total range on
Friday is probable to spawn something tradable covering decent distance today.
ER (+$100 per index point)
Russell 2000 futures are in bullish zone
above 654.50 and bearish below 652.50, generally speaking. Anything directional
is likely to base at these price magnets before pushing away from there.
{Price levels posted in charts above are
compiled from a number of different measurements. Over the course of time we
will see these varying levels magnetize = repel price action consistently}
Thought For The Day
The last two weeks in August and December are very difficult periods
to trade. Yes, there are good days and good portions of days where profitable
action ensues. In between are sections or entire sessions like Friday where
sideways chop rules the day. Trading the first two hours, last two hours and
having a predefined intraday loss limit per contract keeps one safe from
damaging an account.
This is also a wonderful time to kick back,
relax and unwind a bit. September begins the best six months of equity trading
straight ahead of us. Recharging the proverbial batteries is critically
important to long-term success: stress and burnout ends more trading careers
than any other factor I can think of.
While I played in the woods and water near
Russell City, PA last week, nothing happened in the markets. Time away from the
screens allowed time to reflect, focus and prepare myself for some serious
trading to come. I would encourage you to enjoy a similar break from the
screens. Be it in redneck fashion such as mine or something more refined,
distance from the rigors of trading lets us see the forest from the trees.
Trade To Win
Austin P
(free pivot point calculator, much more inside)
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.