Friday’s Futures Setups
Very light trading again
today in stocks, and after an early run-up, the indices all
closed down. Crude oil rose to a two-year high, and February gold closed at a
nice round $350.
Long
Candidates:
|
Contract |
Setup |
Direction |
Trigger |
| Euro ( ECH3 | Quote | Chart | News | PowerRating) |
Breakout | up |
above Thursday’s high |
| Cocoa ( CCH3 | Quote | Chart | News | PowerRating) |
Pennant | up |
above Thursday’s high |
| Bonds ( USH3 | Quote | Chart | News | PowerRating) |
Breakout | up |
above Thursday’s high |
February Gold
(
GCG3 |
Quote |
Chart |
News |
PowerRating) closed
right at $350. Will this be resistance, much like $330 was? It’s hard to call
for a pullback here, as the geo-political situation could escalate any day.
March Cocoa
(
CCH3 |
Quote |
Chart |
News |
PowerRating) is still trading in a pennant just above a .50
retracement.
March Cotton
(
CTH3 |
Quote |
Chart |
News |
PowerRating) pulled back, and may again Friday.
Bonds
(
USH3 |
Quote |
Chart |
News |
PowerRating)
are still breaking out of a large angular triple top.
March Copper
(
HGH3 |
Quote |
Chart |
News |
PowerRating),
though oversold, isn’t quite ready to rally.
February Pork Bellies
(
PBG3 |
Quote |
Chart |
News |
PowerRating)
staged a clean gap up breakout.
Short
Candidates:
| Contract |
Setup |
Direction |
Trigger |
| Dollar ( DXH3 | Quote | Chart | News | PowerRating) |
New Low |
down | Below Thursday’s low |
| Wheat ( WH3 | Quote | Chart | News | PowerRating) |
New Low |
down | Below Thursday’s low |
| Coffee ( KCH3 | Quote | Chart | News | PowerRating) |
Pullback From Lows |
down | Below Thursday’s low |
The Dollar
(
DXH3 |
Quote |
Chart |
News |
PowerRating)
made another new low.
March Coffee
(
KCH3 |
Quote |
Chart |
News |
PowerRating) is a pullback from lows, and looks like
it may challenge recent lows.
March Wheat
(
WH3 |
Quote |
Chart |
News |
PowerRating) only
pulled back one day before closing at a new low.   Â
Please
note that while there are strong trends, one bar or a series of bars
forming a setup can sometimes indicate a contra move for the next day.
This contra move may not be long-lasting — maybe only for a day or
two. Trading with the main trend is always the highest probability
trade.
Remember,
use stops on all your trades.