The ONE Reversal You Can’t Miss on Tuesday

Welcome back – let’s get to work!

Everything’s bullish going into Tuesday, but I’d be lying if I told you I trusted these bulls right now…

We definitely have pullback opportunities on our radar after such a strong run higher this afternoon, but the BIG money’s waiting on the reversal…

I think we can “plan both sides” of these markets tomorrow, but if you could only take ONE trade, don’t miss this one…

E-Mini S&P (ES):

E-Mini Keys to Success:

Bulls have control with a strong run higher to finish today’s session on the Emini ES.

The strength of this recent move tells us that buyers will likely be eager to buy any pullback off these highs, especially down around the low of this new bull channel.

We may also see a range develop overnight – and if so, the best strategy will be buying off support levels waiting just below the new range. 

Sellers need to stay patient right now – the best way to sell this market will be to either see a crown reversal off these highs, or wait for a 123-Reversal going lower.  Either way, patience is going to be key.

E-Mini Nasdaq (NQ):

Nasdaq Keys to Success:

Bulls have control on the Nasdaq this evening, and with such a strong run higher, it’s safe to assume that ANY pullback off these highs will be seen as a buying opportunity on Tuesday morning.

Buyers will be looking for longs off the low of this new bull channel, but watch the pullback closely – if sellers get a strong “jump” off the moving-average during the pullback, then we know this bear market is back on again!

Keep an eye out for a range up here too – big moves like these often turn into sideways ranges the following day.  If that happens, the goal will be to buy support levels under the range.

Crude Oil Futures (CL):

Crude Oil Keys to Success:

Bulls have control on Crude Oil after a recent 123-breakout sent price jumping higher.

With bulls in control, everyone will be looking for ways to get in on the next pullback before we reach the range (magnet) overhead.

Sellers aren’t completely out of the picture yet – the range (magnet) below us could easily take hold, and the best entries will likely be off this support trend-line used as resistance on the opposite side.