Can Buyers Finish the Pendulum Swing? Best Entries for Tues.
We’re back to our desks for another big week of trading; with the end of the month, the final week of earnings, the FOMC Announcement and the potential for new stimulus announcements – it’s going to be a great week in our trade room…
Looking at tomorrow’s session, everyone’s watching the Pendulum Swing on the Eminis and Crude Oil, while Gold tries to keep the momentum running higher.
E-Mini S&P Buyers Hunting for the Pendulum Swing…
E-Mini S&P is bullish with a spike and channel pattern as buyers try to complete a pendulum swing from last week’s big selloff…
Spike and channel patterns are easy to trade; my plan is to buy a deep pullback using a seller failure pattern below the lows of the channel…
- Buy the Low of the Channel with a Nested Failure w/Trap
- Buy below the channel using a nested failure with a trend line
- Buy the 123-Breakout off the low of a new hidden channel
Crude Oil Buyers Look Strong, But Look Left…
Crude Oil is bullish and just completed a bullish pendulum swing back to the highs of last week’s trading-range.
One thing’s for sure, the bulls have control, but sitting at the top of the range is a horrible place to buy; I’m waiting for nested failure pattern to sell into the stops of the buyers for a collapse back down again on Tuesday…
- Sell the Pendulum Swing using a nested buyer failure
- Sell the collapse back into the range using 2-try trap
- Buy the 123-Breakout off the low of a new hidden channel
Gold Buyers Take a Break Ahead of the FOMC on Wed…
Gold is bullish into a Spike & Range pattern; the range is the big clue, telling me to look for buy setups below the range using seller failure patterns, or a 123-breakout to complete the measured-move target waiting overhead.
- Buy below the range using seller-failure patterns
- Buy the 123-Breakout into Hidden Channel Pullback
- Sell the 123-Reversal Pattern ONLY after strong proof!
