Rob’s Market Lessons From Today And Futures Trading Opportunities For Tomorrow

Okay gang, welcome back! Well listen, lets go ahead and focus on a couple of key things about the markets and upcoming futures trading opportunities that we’ve been sharing with you the last couple of days. They keep proving themselves true over and over and over again so listen well. As we go ahead and look tonight at the Euro it continues to go ahead and hold on for dear life here. We have to get down below that 1.35 80. Watch out, it’s very likely that the Euro is going to move between tomorrow Wednesday and Thursday there. Thursday morning we’ve got lots of ECB news coming out, lots coming out of the European sector there to go ahead and perhaps make this move. I’d be on the lookout for that, watch out for wide range moves and again watch out for moves below the 1.35 80 as long as they are outside of a press release. I don’t want to put a resting stop order out here 1.35 80 a few minutes before the ECB announcements come Thursday morning because it could spike right down and come right back through it. Outside of news releases I’m looking to see about getting down below that 1.35 80.

As far as futures trading and Gold, one of the rules with my KOBO, the kick-off blow-off bar, we had a kick-off bar, several small bars here. What we’re looking for is another blow-off bar but the other thing we want to keep in mind is this accumulation bar that hit. This accumulation bar hit several days into a move to the downside, so what do we expect in an area like that? We expect false breakout opportunities and extra risk. In fact, you recall for those of you that have attended my live in person events and things like that where I teach kind of like I did in Kansas City, which was a great group last weekend, one of the rules is if you’ve run out of rocket fuel and gone too far too fast you want to really trail a stop if you even want to take that trade at all because likelihood is we could break right through and then zip right back up above. Until we start getting a little bit more meaningful movement away from the bottom edge of this accumulation bar here, I’m really not going to be interested in futures trading here or taking any shorts. If we start getting the back end of what we call Break-out bar, it’s a KOBO, kick-off blow-off. If we get that blow-off bar then I’ll be all over it but I want to get away from this accumulation bar right now.

Futures Trading Opportunities In The Stock Index Futures

What can you say about the stock index futures? It’s just absolutely awesome to take my work for futures trading and see how it works so well here avoiding a lot of pain and heartache and a lot of lost money. If you’re going ahead and really focusing on some of the things we’re saying, for instance those of you that are so anxious to take the shorts, hey, and who wouldn’t love to take some great shorts here. Get down below the speed lines, have lots of room to grow to the downside here but the problem is you have to get below the speed lines don’t we gang? The strategy has been and continues to be each and every day, we have to break down below the speed lines and as you can see, we’re just not doing that on the S&P and the DOW. So while the Russell has its moments where it looks like it’s good, even that I could argue because if you look today we held the daily bottom end of the channel.

Want to see something cool? Let’s take a look together at the weekly channel. The weekly channel held the midpoint of the channel. So I’m pointing all this out live to people, real time, this morning in the Live Trading Room for people that were getting very anxious to short, that would be a really bad idea for a host of reasons from my perspective. Let’s talk about why.

I showed them how we were holding the daily speed lines, the weekly Russell support, the daily support and then guess what we watched it in turn do? We watched it turn right around and head right back up. It was a great way to keep some people out of some pretty bad trouble there. We’re going to continue to watch this going into tomorrow, it’s the story of the two and the two once again going into Wednesday. We’ve got to get down below those speed lines as we just talked about and this daily support here which is also the weekly midpoint. And then the NASDAQ of course has to do the same thing. All of them have great opportunities, we’ve got air pockets to the down side should we break down below those. But until that happens don’t get too excited about that, keep focusing on potential long reentry futures trading strategies in the meantime.

That continues to be the message and continues to be working out well and I look forward to seeing each and every one of you in the Live Trading Room tomorrow morning or in tomorrow night’s videos here. Take care everyone, have a great evening.

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