Wednesday’s Futures Setups
The
Dow gained 132
to 8041, the Nasdaq
rose 36 to 1346, and the S&P 500 rose 16 to 851 partly on news that a
delayed war might mean a stronger coalition. A report released by Gartner
Dataquest suggested that personal-computer shipments are improving. Wal Mart
posted 4Q earnings that beat by a penny.
Long
Candidates:
|
Contract
|
Setup
|
Direction
|
Trigger
|
| Canadian Dollar ( CDH3 | Quote | Chart | News | PowerRating) |
challenging highs |
up | Â pullbacks to .6572, and above Tuesday’s high |
| Cotton ( CTH3 | Quote | Chart | News | PowerRating) |
pullback | up | Â above Tuesday’s high |
| Wheat ( WH3 | Quote | Chart | News | PowerRating) |
inverted H&S |
up | pullbacks to 334 1/2, and above Tuesday’s high |
| Cocoa ( CCK3 | Quote | Chart | News | PowerRating) |
rally from pullback |
up | above Tuesday’s high |
The Canadian Dollar
(
CDH3 |
Quote |
Chart |
News |
PowerRating) was turned back after making new highs,
but still closed in the top 25% of its range. If it can’t take out this high, we
may have a temporary double top in place. Be careful with this one.
Cotton
(
CTH3 |
Quote |
Chart |
News |
PowerRating) may rally out of this two-bar pullback. Cocoa
(
CCH3 |
Quote |
Chart |
News |
PowerRating) may shoot for its recent highs here as it rallies from this
pullback.   Â
Wheat
(
WH3 |
Quote |
Chart |
News |
PowerRating) rallied nicely out of a pullback two days ago and now
looks like an inverted head and shoulders.
Short
Candidates:
None.
Here are the intraday numbers for the E-minis (ESH3):
S2 829.66Â S1 840.58Â Â Pivot: Â 846.9Â Â Â
R1
857.83Â Â R2 864.16
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.