Dollar Is Strong / Bonds Pull Back
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.
face=”Arial, Helvetica”>For those of you planning to attend
the TradingMarkets2000 First Annual Traders Conference at
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October 13-15, I’ll be speaking on Saturday afternoon
following Jay Leno. I’ll also be at the cocktail party
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out "Bow Ties," my latest trading lesson.
face=”Arial, Helvetica”>At the time this is being published,
the S&P Globex futures are trading up 0.20 points and
the bond market is unchanged.
face=”Arial, Helvetica”>September bonds
(
USU0 |
Quote |
Chart |
News |
PowerRating) have now
formed a three-bar pullback from life-of-contract highs.
Watch for buying opportunities here, but wait for
follow-through to the upside, as they did close poorly on
Tuesday.
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For you breakout
players, the September dollar
(
DXU0 |
Quote |
Chart |
News |
PowerRating), mentioned
night, was up sharply on Tuesday. Continue to look for
shorting opportunities in the September Swiss franc
(
SFU0 |
Quote |
Chart |
News |
PowerRating) and the euro
(
ECU0 |
Quote |
Chart |
News |
PowerRating).
The VIX began to
bounce from 13-month lows on Tuesday. This suggests that
there might be a shorting opportunity in the September
S&P futures
(
SPU0 |
Quote |
Chart |
News |
PowerRating).
Looking Ahead:
Corn appears to be
rallying off of major lows. We’ll watch for the nature of
the first pullback here to confirm this bottom.
Best of luck with
your trading on Wednesday!
face=”Arial, Helvetica”>Dave Landry
P.S. Reminder:
Protective stops on every trade!