Thursday’s Futures Setups

Long
Candidates:


Contract

Setup

Direction

Trigger

Cocoa
(
CCH3 |
Quote |
Chart |
News |
PowerRating)
Rally
out of Pullback
up

above Wednesday’s hig

Dollar

(
DXH3 |
Quote |
Chart |
News |
PowerRating)
Fib
Extension
up

above Wednesday’s hig

Cotton

(
CTH3 |
Quote |
Chart |
News |
PowerRating)
Rally
from Triangle
up

above Wednesday’s high

No trigger on February Live Cattle
(
LCG3 |
Quote |
Chart |
News |
PowerRating)
, and now it looks like
a 1,2,3,
so it’s off the long list.

So much for the pullback in February Gold
(
GCG3 |
Quote |
Chart |
News |
PowerRating)
. The tail on
Tuesday didn’t follow through with lower prices. I keep looking for a pullback,
but the longer-term trend still looks up.

The Dollar
(
DXH3 |
Quote |
Chart |
News |
PowerRating)
triggered just above Tuesday’s high and
promptly fell. Bummer. I still think we bounce in the next few days.

March Cocoa
(
CCH3 |
Quote |
Chart |
News |
PowerRating)
still looks ready to continue its
rally from a pullback.

March Cotton
(
CTH3 |
Quote |
Chart |
News |
PowerRating)
is rallying out of a triangle, and may
continue Thursday.

March Copper
(
HGH3 |
Quote |
Chart |
News |
PowerRating)
is near the confluence of its 50-day MA, a
.50 Fib retracement, and 9/11/02 support. We may have another down day, but this
looks like it’s setting up soon.

Short
Candidates:


Contract

Setup

Direction

Trigger

Yen

(
JYH3 |
Quote |
Chart |
News |
PowerRating)
Hitting
Trendline
down Below


Wednesday’s low

The Yen
(
JYH3 |
Quote |
Chart |
News |
PowerRating)
is hitting
a down trendline from July, and should go lower here.

If Bonds
(
USH3 |
Quote |
Chart |
News |
PowerRating)
get
turned back at the down trendline, at around 110-24, they might be a good short.

March Coffee
(
KCH3 |
Quote |
Chart |
News |
PowerRating)

triggered. Now it’s a pullback from lows, and looks like the next large move may
be back down.

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.

Remember,
use stops on all your trades.

Brice