Tails Defining Lows In Futures
August pork bellies
(
PBQ1 |
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Chart |
News |
PowerRating) gapped higher
on the open, showing price persistency out of their number one billing on
the Momentum-5
List. Intraday, using five-minute bars, bellies left a “tail”
which may still provide a trigger and defined-risk point for traders looking
to get long this market.Â
In a similar intraday pattern, August lean hogs
(
LHQ1 |
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News |
PowerRating),
which have shown upside momentum due to their standing on the
New 10-Day Highs List, are also supported intraday by the 11:35 AM ET
“tail” bar.Â
In a
Turtle Soup Plus One Buy setup, natural gas
(
NGU1 |
Quote |
Chart |
News |
PowerRating)
faded from opening levels but has also found support off a “tail,”
which occurred at Friday’s low. This contract is currently setting up in a
Haggerty Slim Jim-like pattern.Â
Although two of the signals are from the previous sessions, we still have four
down signals from the Market
Bias Indicators Page, suggesting stock index futures will decline. We also have an
indication of a pending, larger-than-normal move: The Multiple Days Low
Volatility List from the Futures
Indicators Page has all three stock index futures on the list. The
implication is that stock index futures contracts (
(
NDU1 |
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PowerRating),
(
SPU1 |
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PowerRating),
(
DJU1 |
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PowerRating)) will make outsized moves as volatility reverts
to its mean.
September cocoa
(
CCU1 |
Quote |
Chart |
News |
PowerRating) broke through resistance to trigger stops
and is exploding after trading above Friday’s high.