Wednesday’s Futures Setups
The indices finished their third
consecutive up-day. The S&Ps
(
SPH2 |
Quote |
Chart |
News |
PowerRating) traded up to their 50%
retracement level, while the Dow futures
(
DJH2 |
Quote |
Chart |
News |
PowerRating) traded through
its .618 level.
After Monday’s hammer, both bonds
(
USH2 |
Quote |
Chart |
News |
PowerRating) and 10-year notes
(
TYH2 |
Quote |
Chart |
News |
PowerRating) rallied. Although still in a
downtrend, there is a possibility of a further bounce from here. The
hammer on Monday looks like a short-term reversal; play bonds up at
least up to the trend line. The 50% retracement on TYH2 is 105.095;
for USH2 it is 101 ’20.
Soybeans
(
SH2 |
Quote |
Chart |
News |
PowerRating) fell out of a
pullback and are now 1 1/2 points above their 10/22 contract lows.
Soybean oil
(
BOH2 |
Quote |
Chart |
News |
PowerRating) fell further out of its consolidation, and it
appears that it will test its10/22 lows. In a wide-range bar,
soybean meal
(
SMH2 |
Quote |
Chart |
News |
PowerRating) also fell out of its consolidation. Look for
further downside in the soybean complex.
Cattle rallied sharply, with feeders
(
FCF2 |
Quote |
Chart |
News |
PowerRating) trading up to their 50-day moving average, and live cattle
(
LCG2 |
Quote |
Chart |
News |
PowerRating) halting just before their 50. Look for continuation here,
but also be prepared for a reaction move.
Gold
(
GCG2 |
Quote |
Chart |
News |
PowerRating) rallied, and is now
trading above its 50-day moving average. Silver
(
SIH2 |
Quote |
Chart |
News |
PowerRating) looks
headed toward its 200-day moving average.
Copper appears to be rallying out of
its 50% retracement. For a couple of days, it looked like it could
break that level and fall further. Look for upside here.
|
Contract |
Setup |
Direction |
Trigger |
| Copper ( HGH2 | Quote | Chart | News | PowerRating) |
rally from retracement |
up |
above Tuesday’s high |
| 30-year bonds (USH2) |
continuation of reversal |
up |
above Tuesday’s high |
| 10-year notes (TYH2) |
continuation |
up |
above Tuesday’s high |
| Soybeans ( SH2 | Quote | Chart | News | PowerRating) |
break below |
down |
below Tuesday’s high |
| Feeder cattle ( FCF2 | Quote | Chart | News | PowerRating) |
continuation of |
up |
above Tuesday’s high |
| Live Cattle (LCG2) |
continuation |
up |
above Tuesday’s high |
Use stops on
all your trades.