Tuesday’s Setups

  • October 29, 2001
  • TradingMarkets Editors

 

Today’s
gap opening in December natural gas (NGZ1)
leaves it a bit overextended and enhances the likelihood that it will fill the
morning gap. At the same time, the forcefulness of the morning push
definitely enhances the odds of a rally above today’s high, eventually. Given today’s price
action, look to buy on a pullback to the 38% retracement (3.170) of its Oct. 24
to Oct. 29 swing, an area which fills the gap and maintains the bullish slant. 

December
copper (HGZ1) left
a tail on a test of its recent lows and now needs to close the morning gap. The
contract also closed on its highs, suggesting upside follow through tomorrow. 

Pork
bellies (PBG2),
short on a Pullback
From Lows setup and their failure to respond as ebulliently as hogs (nearly
limit up) today.

November
soybeans (SX1) also
closed weak and are in a Pullback
From Lows setup.

December
wheat (WZ1)
is still a long after failing to take out Friday’s lows. Wheat is the Momentum-5
List leader. 

Corn
(CZ1)
is a Turtle
Soup Plus One Buy. 

Contract

 Symbol
 Setup
 Direction

 Trigger

Natural gas		  (NGZ1)
  Momentum,
on a pullback 		  
Up
  
3.170
Copper  (HGZ1) Potential
trend change
  Up
 Tight
stop on opening pattern

Pork bellies 		  
(PBG2)
  Pullback
From Lows		  
Down
   
67.150
Soybeans (SX1)  Pullback
From Lows
 
  
Down
 425
1/2 

Wheat

  (WZ1)

  Momentum-5
List leader		  
Up

 Off
The Blocks
 Corn (CZ1)   Turtle
Soup Plus One Buy
  
Up
 
203 3/4






















 

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your risk before entering and honor it.