June 3, 2011
- in Uncategorized by schooloftrade
NonFarm Payrolls Strategy prepares for the worst and capitalizes on the best
Click Here To Review Our Automated Trading Results From This Morning
830am est
We wait for news at 830am
Our Plan on Crude Oil:
Buy the lows and sell the highs of the wedge and the sideways range
Avoid the BMT area at 100.00 and the big round number at 100.00
As price drops im buying at support first, looking for the price reversal, and if that fails I will sell retracements with new lower lows.
As price rises I will sell at resistance first looking for price reversal, never buying the highs and then if the reversal fails I will then buy pullbacks after new higher highs.
Our plan on Gold:
Buy the lows and sell the highs of the wedge and the sideways range
As price drops im buying at support first, looking for the price reversal, and if that fails I will sell retracements with new lower lows.
As price rises I will sell at resistance first looking for price reversal, never buying the highs and then if the reversal fails I will then buy pullbacks after new higher highs.
900am est
We saw initial movement after the news, I bought the pullback on gold and sold the retracement on crude oil, but both markets wanted to chop and slop.
Now we re-assess the situation and we find a new set of patterns to use in our plan of attack.
930am est
We made over 100 ticks day trading gold and crude oil this morning buying pullbacks with new higher highs and then sold the highs of the wedge for our biggest trade of the day.
Now the markets have lost personality, and we wait for 935am and the US market open to pass.
Lets re-adjust our levels, clear our minds, and re-focus for the next 1.5 hours. We wont be trading after 11am, so watch the clock and remember the 10am news as well.
Review of Gold Futures:
89range chart shows price wedge inside of the major price wedge.
We also have very clear sideways ranges using our swing indicator.
Very simple plan of attack.
If price drops:
– Buying support first with 2-step long or wave long, looking for a price reversal at support/lows of a range
– I don’t sell the lows, I will wait for new LL’s and then sell a retracement.
– Buying 1545.4 support, buying 20.5, 15.5
– Avoiding the BMT around 1508 and using the BMT as a final profit target for my trades today to the short side.
– Beware the level of 1500 big round number
– Buy the wedge lows at 1487.5
– Along the way down I will sell only when I have a retracement or a price reversal at RESISTANCE.
– “Buy at Support, Sell at Resistance”
If price rises:
– Im selling resistance first, then buying with new higher highs using a pullback.
– I won’t buy the highs, I wait for new HH’s to buy a pullback.
– Sell the wedge highs
– Sell the range highs at 1548.4
– Sell major wedge highs at 1551.6
– Sell the lows of the channel (will act as resistance) at 1560.0
– Along the way up im ok with buying as long as it’s a pullback at support or a price reversal off support.
1030am est
We’re now in the dead zone on a Friday morning from 1030 to 1130am est.
We’ve earned 200 ticks on gold and crude oil today and now we want to KEEP those profits in our account.
Lets plan our attack for the rest of our morning using ONLY the very best areas on our charts.
Gold Plan:
Sell the wedge highs below with a target at 36.5, but the issue is lack of personality.
The trigger lines and BMT lines are acting as support
Crude Oil Plan:
Crude Oil is off the lows in the middle of the range and around the 100 and the BMT.
We planned for this earlier today and we now know to call it quits.
We need to see something dramatic for this market to get us back in.
