Friday’s Futures Setups
The questionable economy is creating a choppy,
yet tradable market for traders. Both the Sept. S&P 500
(
SPU2 |
Quote |
Chart |
News |
PowerRating)
and the Sept. Nasdaq 100
(
NDU2 |
Quote |
Chart |
News |
PowerRating) futures fell to key support levels
today, but were able to hold above those levels despite closing negative. SPU2
closed at 883.20, down 5.90. Earlier in the session, the Sept. S&Ps tested the
50% retracement (867.80) drawn from the July
to
August rally. The Sept. Nasdaq
100 felt heat from the ailing Semiconductor sector
(
$SOX.X |
Quote |
Chart |
News |
PowerRating) and
fell back down to 893, losing 22, or 2.40%.
For CVR signals, look at the
TradingMarkets.com Market Bias Indicators
Click Here
At the Chicago Board of Trade (CBOT),
grains and beans rallied stronger once again. Wheat was a winner once again with
an increase that made it hit the five-year high levels. The reason for the big
move in wheat is because the US, which is the world’s largest exporter, has been
hampered by drought. Other big exporters of wheat, Canada and Australia, have
also suffered crop losses and this has lead to a tightening of world supplies.
In addition, rainy weather in the growing regions has some traders fearing
damage to the US spring wheat fields. December wheat
(
WZ2 |
Quote |
Chart |
News |
PowerRating) rose
1.68%, closing at $3.92 3/4 a bushel, an increase of 6.50 cents.
Possible
short candidates
Contract |
Setup |
Direction |
Trigger |
| Dec wheat ( WZ2 | Quote | Chart | News | PowerRating) |
possible turtle soup plus one sell |
DOWN | break below 3.84 |
| U.S. Dollar ( DXU2 | Quote | Chart | News | PowerRating) |
Breakdown from slanted triple bottom |
DOWN | break below 106.32 |
| Nov. frozen OJ ( JOX2 | Quote | Chart | News | PowerRating) |
Breakdown from head and shoulders | DOWN | break below 101.15 |
| Dec. 30-year bond ( USZ2 | Quote | Chart | News | PowerRating) |
possible turtle soup plus one sell | DOWN | break below 112^00 |
| Sept 10-year note ( TYZ2 | Quote | Chart | News | PowerRating) |
possible turtle soup plus one sell |
DOWN |
break below 114 |
Possible long candidates
Contract |
Setup |
Direction |
Trigger |
|
|
Possible Turtle Soup Buy Candidate | UP |
break above .69 |
| Heating Oil ( HOV2 | Quote | Chart | News | PowerRating) |
Triangle at high |
UP | break above .7670 |
| Soybean Meal ( SMZ2 | Quote | Chart | News | PowerRating) |
Pullback from high | UP | break above 171.10 |
| Soybeans ( SX2 | Quote | Chart | News | PowerRating) |
Pullback from high | UP |
break above 545 1/2 |
| Sept. Japanese yen ( JYU2 | Quote | Chart | News | PowerRating) |
Bullish symmetrical triangle | UP | break above .8615 |
| Oct. crude oil ( CLV2 | Quote | Chart | News | PowerRating) |
Pullback |
UP |
break above 29.00 |
Please note that while there are
strong trends in some
commodities, 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.
Use stops on all your trades.