My Favorite Trades for Tuesday

We’re back to our desks for the final week of June and we have a lot of great trades on our radar for Tuesday…

The Eminis are trending higher, so we’re buying pullbacks and keeping our eyes open for reversals…

Gold is still trading inside a range, so the plan is to continue buying low, selling high and focusing on failures until we get a breakout…

E-Mini S&P (ES):

E-Mini Keys to Success:

• Range Market = Failures, Rotation & Breakouts
• We finished last week with the market grinding higher into a range to begin this week.
• With bulls in control, I’ll be looking to buy breakouts and pullbacks, looking for signs of exhaustion and reversal back to the lows of the range.

Top 3 Trades for Tomorrow: 

• UP – buy the breakout & anticipate a new range (or) sell the reversal
• DOWN – buy the pullback (or) sell the buyer failure
• SIDEWAYS – wait for the new range, then buy below the range with failures

E-Mini Nasdaq (NQ):

Nasdaq Keys to Success:

• Trending Market = Pullbacks, Reversals, New Ranges
• Big move today = Range for tomorrow
• Bulls have control with a spike and channel pattern, suggesting a deep pullback at some point tomorrow to allow buyers to get in after such a strong run higher.
• We also see a range just below us, acting as a price-magnet, which needs to be respected.
• I’ll be looking to buy shallow pullbacks with traps, and 2-try failures with deep pullbacks off these highs.

Top 3 Trades for Tomorrow: 

• UP – Buy the breakout (or) sell the 2try reversal
• DOWN – buy the seller failure (or) sell the 123-Reversal
• SIDEWAYS – sit on hands and wait to buy below the range using failures.

Gold Futures (GC):

Gold Keys to Success:

• Range Market = Failures, Rotation, Breakouts
• We’ve been range-bound for a week, anticipate a breakout
• We’re still coiled-up inside the range from last week, starting the week with a triangle.
• I’ll be looking to buy low and sell high using failure setups, while keeping an eye open for a breakout on strength in either direction.

Top 3 Trades for Tomorrow: 

• UP – sell the buyer failure (or) buy the bull breakout
• DOWN – buy the seller failure (or) sell the bear breakout
• SIDEWAYS – avoid the middle of the range, wait to buy low or sell high