Sell Highs on Gold, Dollar Correlation helps buy the Euro and Crude Oil sells off

830am EST

– Most of the markets are still recovering from the FOMC announcement yesterday.

– Gold futures trading at all-time highs, top of the channel pattern, and we can see a sideways range from 1296.5 down to 1290.1

o Im looking to buy the lows and sell the highs of this range for day traders and scalpers

o Swing traders will look for the price reversal off these highs, but will have a hard time planning any long trades for lack of overhead resistance as potential profit targets.

o We open our day trader’s timeframe, 13-range chart and we can easily see a bullish channel at these new highs, giving us clear highs and lows to buy and sell with.

o Scalpers are sitting on hands because we are in the middle of the sideways trading range

o Day traders are waiting for the reversal pattern off the highs

900am EST

– Euro futures trading at new highs after the news release yesterday.

– We can see a clear horseshoe pattern on the 34-range chart
930am EST

– We took our first trade of the day selling the highs of crude oil futures for a quick 14 ticks of profit on this small move on the scalping timeframe

– We took our second trade on the euro selling the highs when we saw the dollar bounce off its lows.

o Dollar support = euro resistance, so we sold short the euro, rather than buying the highs.

935am EST

– Crude oil futures are having a hard time getting out of this messy area on our 34-range chart

– We have support below and resistance overhead, which is causing us to have to wait for the best opportunities to come in the future.

o We open our 13-range chart on the crude oil and we see us at the highs of the channel around 76.00, so we’re looking for a selling opportunity at these highs.

o Entry short < 75.50, with targets of 40, 30, 18 (soft), and then the lows of 75.00 as the final (hard) target.

– Our fastest timeframe on the crude oil shows us trading sideways from 60 to 95, and trading in the middle of that range

o I will avoid the middle, so right now sitting on hands for faster timeframe traders

o Looking to sell the 95’s and buy the 60’s

1020am EST

– We’re waiting patiently for the crude oil inventories to be released at 1030am EST today, and that will likely gives us an entry opportunity that we can take today on the crude oil futures.

– Entry short below 75.26 is our next opportunity, first we have to clear all the support above 26’s

– Profit targets will be at 15, 75.05, and the lows of the day at 97 (1/4)
1050am EST

– The euro just broke new lows, and we took a bunch of money out of that move for our 4th winner of the day.

– Now with the dollar going sideways again, so is the euro and im waiting for a re-entry selling these highs below 91.

– Targets will be 75 (trend line), 60, and then down to 35 which is the LOD from prev days trading.

– The mini Russell is also coming off its highs, giving us this short opportunity below 57.4, and on our 4-range chart we see entry specifically below 56.4, with targets of 54.0 (trend Line), 50.0 (bottom of the channel), and then down to the next level of support (swing low) at 40