Trading “Hidden” Ranges

Markets have been back and forth on the charts this week, but if you know what you’re looking for, it’s easy to find reliable set-ups using “hidden” ranges we see this evening – are you ready for tomorrow morning?

Crude Oil Collapsed – Can We Still Keep Selling?

Crude Oil is bearish and back inside the range from last week, which tells me to look for sell set-ups up above the high of the range using a seller-failure set-up.

And if the market keeps pushing lower, I’m looking for a 123-Breakout pattern into a sell off the high of a Hidden Channel to complete the ‘pendulum swing’ target waiting below.

E-Mini S&P Sits on the Low of a “Hidden” Range

E-Mini S&P is bearish and trading at the low of a “hidden” trading-range, which tells me to look for buy set-ups to buy off the low.

The challenge, however, is the momentum is way too bearish to start buying this market, so my plan is to wait for the bears to try and fail twice before looking for the entry into a short-covering rally back to the range high.

Nasdaq Has Two Big Support Levels Here (See ‘Em?)

Nasdaq is bearish and sitting at the combination of the low of a “hidden” trading-range and the low of a Hidden Channel, which is a great place to look for buy set-ups.

But just like the E-Mini S&P, this Nasdaq is much too bearish for buying right now, telling me to stay patient and wait for buy set-ups using the “nested” reversal pattern.

Gold is Back Where the Party Started – Now What?

Gold is bullish and back inside the range we spoke about in last night’s newsletter, which tells me to keep focused on failures set-ups, buying low, selling high, and avoiding the middle of this range tomorrow morning.

Euro is Stuck in Chop – Stay Patient!

Euro is bullish and stuck inside a narrow trading-range, which tells me the only safe place to look for buy set-ups will be far below the low of this tiny range.

Knowing this, my plan is to wait for the sellers trying to run this lower, and buy into their stops when they try selling the pullback to the moving-average.

“Yesterday is not ours to recover, but tomorrow is ours to win or lose.”