Wednesday’s Futures Setups
The Dow gained 37 to 9109, the Nasdaq
lost 5 to 1605, and the S&P 500
rose 2
to 983. Consumer confidence numbers came in at 83.5 in June, slightly
better than expected. A quarter point cut is expected on Wednesday, and you can
bet the bias will be watched closely. Bonds continued to rally from a pullback,
and gold made a six-week low.
Long Candidates:
|
|
|
|
|
| Gold ( GCQ3 | Quote | Chart | News | PowerRating) |
oversold at 50% retracement | up | 1,2,3 below Tuesday’s low |
Our trigger got us long Bonds
(
USU3 |
Quote |
Chart |
News |
PowerRating)
again. Let’s watch the number, and the bias, tomorrow.
Gold
(
GCQ3 |
Quote |
Chart |
News |
PowerRating) is right at a 50%
retracement, which, by itself is not enough to take a trade, but certainly
becomes an awareness zone. Look for a 1,2,3 below today’s low.
I’m watching Corn
(
CU3 |
Quote |
Chart |
News |
PowerRating), which closed in a doji, and here comes one
of my crazy trendlines, so listen up:Â Connect the 2/24 tow, the 4/25 high,
and the 6/5 low, and you’ve got a zone right below today’s low. Add the rough
up-trendline beginning 3/25 and the fact that there is positive momentum
divergence, and maybe you’ve got something. Still watching, though.
More chart fun in Sugar
(
SBV3 |
Quote |
Chart |
News |
PowerRating). Draw a
line connecting the 6/16 and 8/25 lows and see where you end up. Add to this a
close fractionally below a .618 retracement, slightly positive momentum
divergence and an oversold condition, and, well…we’ll see.
Still watching this triangle in the Yen
(
JYU3 |
Quote |
Chart |
News |
PowerRating).
Short Candidates:
None tonight.
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.
Be advised that some futures contracts are prone to gaps.
Remember, use stops on all your trades.