Wednesday’s Futures Setups
Stocks rose Tuesday,
with the Dow +93 to 9310, the Nasdaq +25
to 1687, and the SPX +10 to 990. The Fed left rates unchanged, as expected, and
said that they would continue to do so for the near future in spite of
increasing economic growth.
Long Candidates:
None tonight.
Natural gas
(
NGU3 |
Quote |
Chart |
News |
PowerRating) is attempting to break out of this flag.
Also watching Cocoa
(
CCU3 |
Quote |
Chart |
News |
PowerRating) here, as it looks ready
to break a trendline and there is some positive divergence happening. Poor close
today, though.
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Short Candidates:
Â
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| Hogs ( LHV3 | Quote | Chart | News | PowerRating) |
counter-trend rally | down | rallies to 53.15 and below Monday’s low |
Hogs
(
LHV3 |
Quote |
Chart |
News |
PowerRating) are a falling from a counter trend
rally, and look lower.
Wheat
(
WU3 |
Quote |
Chart |
News |
PowerRating) looks to be rising on declining momentum, and closed
poorly today. It’s still in an uptrend, though.
Gold
(
GCZ3 |
Quote |
Chart |
News |
PowerRating) is trading in a gigantic triangle; when we break this,
we should have a large move one way.
We did an interview recently — part of it dealing with commodities — with
Jim Rogers. If you missed it,
click here.
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.