October 26, 2011
- in Uncategorized by schooloftrade
50 ticks per contract using the Dollar Index Correlation & Fast Track Method
800am EST
This morning all eyes are on the EU Leaders Summit, where they trying to find a solution to this double-dip recession threat.
Markets are trading in the middle of their range, and we can see they are looking for clues.
830am EST
The euro currency futures is in the range from Tuesday and at the highs of the price channel, waiting for more info from the EU Leaders Summit.
We can tell this is going to be a ‘fake-out breakout’ type of day unless something changes and we have a defined bias based on the news this morning.
So as price rises I’m selling at resistance, and as price falls I’m buying at support.
900am EST
Crude oil futures trading sideways at the highs of the bull price channel. We can see today looks like a fake-out breakout structure so buy the support as price falls, and sell the resistance as price rises.
920am EST
Market personality is clearly going to be the key to our success today.
The dollar index recently dropped to new lows and the crude oil futures didn’t move higher, still very sloppy, so we need to take that as a clue.
We need to see crude oil futures at the highs or the lows of the range before we start trading, and remember that as of 1015am EST we need to sit on hands and wait for the 1030am crude oil inventories.
930am EST
Gold futures trading just below PHOD so we are inside the range from Tuesday and we have a new bull price channel to trade with.
Plan today is to buy pullback at major support and to sell the highs as price rises to new highs.
Very challenging to buy the highs of this range on gold futures, too emotional across all demographics.
