A Reversal Pattern For Nasdaq Emini Traders
The fear of a terrorist attack
over the Fourth of
July Holiday has been on the minds of many traders for the past couple of weeks. As the holiday ended, the one tragic event at the Los Angeles International
Airport did not spook investors. This morning, the Dow Jones Industrial Average
revved up strong and staged its biggest gain of the year, as investors snapped
up bargains.
The September Dow Jones Industrial Average
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PowerRating) gapped open above the Resistance 1 Pivot Point of 9111.
From there the DJU2 shot up 343 points, or 3.79%, to close at 9392, in an
abbreviated trading session that ended at 1 p.m. EDT. Today’s gains have
replaced two days of losses early in the week, leaving the blue-chip futures
barometer up for the week from a week ago. This is the first weekly gain since
the period ending May 17.
The September Nasdaq 100
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NDU2 made its largest one-day increase since May 8, but still was negative for
the week. On the intra-day chart, the NDU2 is forming a bullish island reversal
pattern.
On the Standard & Poor’s 500 futures for
September
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PowerRating) climbed past the Resistance 2 level of 968.80 to close
at 991 up 38.29 or 4.02%.Traders will be looking forward top Monday, to see if
this rally can stay intact over the Weekend.
Bond prices pulled back as investors shifted their money into equities, but by
the end of the session (Bond trading also finished early, at 2 p.m. EDT) the
September 30-year bond
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10-year note for September
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In the currency markets, the September dollar
(
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the September euro
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PowerRating).
Hot weather led grain soybeans prices higher in early trading Friday on the
Chicago Board of Trade. With many traders choosing to take the day off after
July Fourth, volume appeared to be light.
Wheat prices dropped because of hot and dry weather that further worsened crop
conditions in the wheat belt, but by the end of the shortened holiday session
Wheat for September
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PowerRating) delivery gained 3/4 cents to $3.22 3/4 a
bushel.
December corn futures
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PowerRating) were choppy in early dealings as the
market was trying to decipher mixed weather forecasts. December corn rose 4 3/4
cents to $2.46 a bushel.
Soybean prices moved higher today and sustained their early gains. November
soybeans
(
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PowerRating) rose 3 cents to $5.14 a bushel.
The Energy Markets were closed today due to the
Holiday.