NEWS MIDDLE EAST CHINA PIIGS KEY SUPPORT LEVELS
and did we mention contract rollover? Pick your poison, they all contributed to a broken market today. The DJIA lost it's grip on 12,000 and the ES elevator forgot to stop at 1300. China has a trade deficit, and U.S. jobless claims rose while the deficit surged to higher levels. The Euro Zone could not stay out of the news, as Moody's cut Spain's (of the famed Portugal Ireland Italy Greece Spain Group) debt rating.
The pre-market flashed a MAXT signaling a decline leading into the open. Traders will continue to debate how to trade contracts on the rollover day. We started with the "M" and recorded a small loss with our first trade, and switched back to the "H" contracts until midday.
When the market opened, we returned to profit playing the TR at b2 and moving to a short on the failure. This was followed by two trend longs as we were seeking to break the ema. The market reversed on the MAXT with an exit at the next TR.
In the PM we took a long TL trade. We have a rising trend on the 8m and were just coming out of a down channel on the 3m. A trade that has cross confirmation (CC) has a positive potential and worth considering. This was the trade share outside #chartmaster. What was not shared was the MAXT setting up on the 8m (parallel lines) which helped us identify the best trade of the day, the short at 98.
A final word on CC.
A trade to look for is one that has 2 or 3 chart confirmation. This cross confirmation (CC) has a positive reward potential.
Here we have a XRB on the range chart, a modified MAX on the 8m, followed by another XRB on the4m chart at the top of a channel.
No comments:
Post a Comment