Non-Farm Payrolls Trading Strategy
We’re almost finished with the first week of February, and with Non-Farm Payrolls on the schedule for tomorrow, we’re seeing a lot of consolidation going into the overnight session…
But you know me, I love range-bound markets because they make our job so easy; buy low, sell high, and keep an eye on momentum, because that’s the secret to choosing the correct entry pattern – are you ready?
Oil is Bearish, But Look Closely…
Crude Oil is bearish into a trading-range, telling me to look for sell setups above the range high tomorrow morning…
But I just noticed something important; the sellers never finished their “rotation” back to the range lows, which is a big BULLISH clue going into Friday morning…
Knowing this, I still want to sell the high of this range, but now I need to use a “nested” failure pattern to protect myself against a possible reversal.
E-Mini Sits Inside a Narrow Range…
E-Mini S&P is bullish and stuck inside a narrow trading-range ahead of tomorrow morning’s big news report, which tells me to look for buy setups below the range using a seller-failure pattern…
And if the buyers attempt a breakout? I’ll wait for a 123-Breakout and then look to buy the low of the hidden-channel on the way up to re-test today’s high.
Nasdaq Pushing for New Highs…
Nasdaq is bullish and trading just above a narrow range, inches away from re-testing all-time highs, which isn’t a very reliable place to start buying…
So I’m going to stay patient; waiting to buy below this range using the low of anew hidden-channel, or waiting for a 2-try breakout and getting long with a trap-low.
That Expanding Triangle is GOLD…
Gold is bullish and trading sideways with an expanding triangle, which is one of my favorite types of chart patterns because it tells me exactly where to look for the best entries and exits tomorrow morning…
The key is waiting for a pullback on Gold, because we have a handful of reliable support levels below, and all we need is a seller-failure pattern to “buy into the stops” of the counter-trend sellers for an easy run back up to the high.
