Inside Day told me to avoid Fake-Out Breakouts

830am est Jobless Claims come out higher than expected, and within the range of the average 430k jobless claims which we have been used to seeing. This is the same concern that Bernanke spoke about on Tuesday night, so these sluggish jobs are making it tough to sell the idea of a recovering economy. We […]

Trade the News Market Internals Update

**Looking Ahead*** – (PE) Peru Central Bank Interest Rate Decision: Expected to raise the Reference Rate by 25bps to 4.50% – 11:00 (US) Fed to purchase $6-8B in Notes/Bonds – 11:30 (US) Fed’s Yellen speaks on Housing in Cleveland – 12:00 (LX) ECB’s Mersch presents annual BCL Report – 13:00 (US) Treasury to sell $13B […]

Can Average True Range be Too High?

What does Lower Average True Range mean? –          There is less trading range on average for the specific timeframe you are looking at. –          HIGHER ATR = wider range –          LOWER ATR = narrow ranges –          Lower ATR will results in more false signals –          Sometimes the ATR can be too high? Can the ATR […]

Crude Oil moves higher, Dollar trades sideways, and Traders Wait for Jobless Claims

Traders around the world are reacting to higher prices on crude oil as OPEC’s Meeting ends in a stand-still on Wednesday. The Dollar Index stabilized this morning after spiking oil prices and lack of confidence pushed the DX 06-11 contract to new lows on Wednesday. Traders this morning are preparing for news on Jobless claims […]

Who Makes the PROFIT from Higher Crude Oil Prices?

OPEC Says No… Crude Oil says GO!

We begin our day reviewing the news.  We know today has 3 phases of crude oil inventories, which means we need to be aware the market personality will be transitioning twice today. We also know that OPEC has their meeting, which will have everyone waiting to hear the news from OPEC.  We also know that […]

Trade the News Market Internals Update

***Looking Ahead*** – (BR) Brazil Central Bank (COPOM) Interest Rate Decision: Expected to raise the SELIC Target Rate by 25bps to 12.25% – 11:00 (US) Fed to purchase $5-7B in Notes/Bonds – 12:00 (EU) EU’s Rehn speaks at Conference in Koenigstein, Germany – 13:00 (US) Treasury to sell $21B in 10-Year Notes Reopening – 14:00 […]

Fade The News when everyone THINKS they know where price is going

Fade The News: Traders expect a certain news event has already been ‘priced into the market’ which means when the news comes out, rookie traders try and buy/sell, only to find the BIG MONEY traders waiting to take it from them. Some easy clues for when to fade the news: –          When its very easy […]

Dollar jumps on Bernanke’s Comments, Crude Oil’s Slump Continues, and Traders wait for Beige Book News later today

The Dollar Index jumped off  its lows this morning on news from our Fed Chairman Ben Bernanke last night.  In review of his speech many traders were surprised at his specific attention on Crude Oil Prices, Commodity Prices, and his specific point made about the Jobs in the US. Ultimately Bernanke confirmed that the Fed […]

Everyone knows where Crude Oil’s going…so why didn’t it?

830am est Let’s begin our day reviewing the dollar index: 89range chart shows me at the lows of the major price wedge. We also see a sideways range from a recent swing high and swing low. We see major support below us, and the BMT is above us. Three scenarios to consider: –          Price may […]