These (3) Shorts Could Make Your Entire Week!
Woah – Look at the size of that move!
Markets made another big move down today, which means we’re looking to “sell the bounces” tomorrow morning – but which ones are worth trading?
The charts made it easy for us – keep these (3) shorts on your radar because any one of them could make your entire week!
Emini is bearish into a range, and I’d love to short the high of an expanding triangle – I just need to trap in the buyers first!
Nasdaq is bearish and sitting on major support, and I’m watching (2) trap levels for the best entries…
Crude Oil is bearish too – we’re expecting a range overnight, so be ready to fade those breakouts tomorrow!
E-Mini S&P (ES):
Emini is bearish and 3-legs down into a range
The Emini made a choppy move lower to start the week, ending three legs lows and sitting just below a range.
Sellers have control of momentum and will be looking for entries off the high of the channel, resistance above the range, and breakouts going lower.
Buyers have to stay patient right now, waiting for a double-bottom reversal, or 123-Reversal going higher.
Keys to Success:
- Strong bear trend, sitting just below a range
- Sellers want to sell pullbacks using resistance levels above
- Buyers want a reversal and change of momentum
- Breakout is easy for sellers if they hold this pullback, not easy for buyers.
E-Mini Nasdaq (NQ):
Nasdaq is bearish with 3 legs down testing major support
The Nasdaq is bearish and went three big legs lower today, ending the session at major support levels from last February.
Sellers have control, and they’ll be looking for shorts off resistance levels overhead, along with selling above any new range that forms.
Buyers have to stay patient, but they can buy a double-bottom reversal, or 123-Reversal is momentum changes going higher.
Keys to Success:
- Three legs down into major support (range? Deep pullback?)
- Sellers want to sell pullbacks off resistance levels, or above new ranges
- Buyers want to buy reversals
- Watch for ranges and breakouts that might snap back!
Crude Oil Futures (CL):
Crude Oil is bearish and finished the day right at it’s low!
Crude Oil tumbled nearly $9 lower today, which reminds us that “big moves” like these usually mean a range or a deep pullback the following day.
Sellers have control, and they’ll be looking for entries off resistance levels around the high of the channel, or above new ranges that develop overnight.
Buyers don’t have many options right now. They need to wait for momentum to shift higher, or trade a double-bottom bounce.
Keys to Success:
- Big move down for the bears, expect a range or deep pullback
- Sellers want to “sell high” at resistance levels overhead
- Buyers want a reversal
- Bear breakouts are easy going down to the $100 magnet.
