Tax-Day Trading, Did you SEE this 2-Step Entry on the Wave Indicator?

Market Gave us clues today…

815am EST

– Dollar Index Futures are trading sideways from 81.000 – 80.000

o Still watching the half 80.500

o Still watching the double tops/bottoms

o Pace of tape is very slow

o No short term trend on the fast timeframe

o Average True Range has been very narrow at the extremes, tells us that the traders in the market have very little confidence in breaking that sideways range

– 830am EST

o Jobless Claims are out higher than expected

o Crude Oil Futures trading sideways from 87.00 – 86.00 and sticking around the 86.50 level

o Just rolled over to the 06-10 contracts today, so speed will be a concern.

 We need to make sure that the REST of the market has also joined us on the 06-10

 First move of the day 833am EST on the Crude oil had NO BIG MONEY, so we must keep an eye on that.

– 900am EST

o Pound Futures trading sideways, sitting quietly in the middle of its sideways range

 Middle of the range = chop zone

• Weak price action, nobody knows which direction it wants to move, so we need to wait for that direction to develop

o Euro Futures made a BIG drop overnight, but now sitting very suspiciously on 1.3550, half way to its extremes

 3550 has shown choppiness previously this week, so we wait for price to get farther away from the HALF level.

 Whenever we see a BIG drop like this, our initial reaction should be to look for the reversal

• Don’t be afraid to short the next break, but you need to watch for BIG MONEY

– 945AM EST

o Still no trend at all on the Dollar Index Futures.

 Watch the Fast timeframe (4range) to see the short term trend.

• Lack of trend on dollar = choppy on everything else

• Dollar index leads the move! Wait for it!

3 trades today,1 High risk Loss, 2 Winners

+24 ticks, $240usd on the scalps

Lost 36 ticks on the Wave High Risk at the open.

Only 4 contracts needed to achieve this today!

See you tomorrow @ 745am EST for the live trade room session!