Look For Shorting Opportunities
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.
At the time this is being published, the S&P Globex Futures are trading 1.10 points lower and the Bond Market Futures are trading up 3 ticks.
Tonight we have four indicators pointing lower on the Market Bias Page. This, combined with the fact that the September S&P Futures [SPU9>SPU9] closed poorly(a) after rallying from lows suggests we will have a downside bias for tomorrow. Look for shorting opportunities here.
Source: Omega Research.
September Orange Juice [OJU9>OJU9], on the Momentum 5 and Pullbacks Off Highs List, has made a fast move upward from recent lows and appears poised to resume its breakout. Look for a buying opportunity here.
The September Dollar [DXU9>DXU9] remains weak and appears poised to resume its downtrend. Look for a possible buying opportunity in the September Swiss Franc [SFU9>SFU9] (an inverse currency and less extended than the Japanese Yen).
For you breakout players, September Natural Gas [NGU9>NGU9], mentioned last night, rallied to life-of-contract highs today. Continue to look for a buying opportunity here.
Best of luck with your trading on Thursday!
Dave Landry
PS-Reminder: Protective stops on every trade!