Friday’s Futures Setups

Coffee may set up as a

1,2,3. A flatter MA would be nice, though.

 

The volatility in Cattle is decreasing, which makes a larger move more likely.

On the 60-minute chart, the E-minis closed at a 127% extension of a move down
from 9/8. The 161.8% extension lies near 1047. Does that mean we have to stop
there? Heck no, but I’ve seen stranger things.

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.


Be advised that some futures contracts are prone to gaps.