Here’s The Levels Where I’m A Buyer

Premarket futures are in the green,
along with crude oil at new contract highs.
With the August FOMC meeting
tomorrow, this session is likely to go directional early and sideways later.
That’s pretty much what we have seen more days than not lately, and more of the
same is expected for now.

ES (+$50 per index point)

S&P 500 gave a sell signal in the method we use
right near 1236 on Friday. That trade quickly worked for +5pts to +8pts at the
session low, depending on where each trader might exit. Still held inside a 10pt
overall range, very muted action all of last week.

Monday’s sell zone is at/below 1232 and buy
zone begins at/above 1236. Everything in between is no man’s land, so to speak.

NQ (+$20 per index point)

Nasdaq 100 painted an ugly chart on Friday. It
began in noisy, spiky fashion and chopped sideways thru an 8pt total range for
nearly six hours hence. The only real trade signal we saw was short near 1615
early on, then it was a mess for the duration.

Spanning a 15pt total range from tip to turn in
6.5 hours on Friday, that about sums up why I don’t trade the NQ right now. For
those who do, sell zone below 1610 and buy zone above 1615 again is the
directional bias for today.

YM (+$5 per index point)

Dow Industrial futures were even uglier than
the NQ, and that’s saying quite a bit. There were so many buzz candles there
(long green, long red, long green in sequence) that I’m not sure how = where any
stop-loss orders may have held.

Today’s buy and sell zones are marked in light
blue as well, with 20pt range in between clearly neutral ground.

ER (+$100 per index point)

Russell 2000 futures gave a sell signal just
below 672, and fell out of bed from there. They eventually covered +$1,000 per
contract range from there to session lows, something the ES-NQ-YM did not manage
to do if you add them all together.

After the plunge, it was a 2pt sideways chop
for hours into the close. Same M.O. we’ve seen in the indexes for awhile now,
and probable to persist.

ER is on sell bias below 666 and switches to
buy mode above 671 for the start of today. Watch for those values to magnetize
price action if/when touched. 

{Price levels posted in charts above are
compiled from a number of different measurements. Over the course of time we
will see these varying levels magnetize = repel price action consistently}

One And Done

Lately the morning moves in active stock index symbols lead to sideways
consolidation all day. That will probably play out again today as the FOMC
meeting draws near. Tomorrow’s action should be good early and late, with a
sideways coil midday from 11:00am to 1:30pm EST more or less.

Trend View

If you are interested in a free, no strings attached view of our weekly trend
view newsletter, please visit
and click on the “Weekend Market Outlook” link for
current edition. It is an open link to the public, no barrier to access at all.
Most of the key price levels for major and secondary stock indexes (along with
FX markets) are posted in weekly charts each weekend in that forum.

Let’s Hear It, Please!

It is a pleasure contributing brief tidbits of market information in my little
corner of the world here amongst so many professional peers. This can be a
lonely, isolated past time and I get as much out of writing here as I hope you
do reading this stuff.

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Have an excellent trading day!

Trade To Win

Austin P

Austin Passamonte is a full-time
professional trader who specializes in E-mini stock index futures, equity
options and commodity markets.

Mr. Passamonte’s trading approach uses proprietary chart patterns found on an
intraday basis. Austin trades privately in the Finger Lakes region of New York.