We’re Watching These Markets For Potential Day Trading And Big Moves

Welcome back everyone! Ryan here, bringing you tonight’s video. It’s about 11:30 Pacific Time and I’m going to have to get up and boogie today, so bringing you the videos before the market close. So far, as the trading day is progressing, we are in a state of flux, we’re kind of in this period of indecision that I was talking about yesterday, where the market is in a precarious position and it’s quite indecisive, and we saw a lot of that this morning in the Live Trading Room in the action, in the trends, etc. With the trading session not being over yet, it still has a potential to heat up to the downside or the upside, but as of now, still looking at a pretty indecisive market. Similar to what we had yesterday, where we had accumulation below us, distribution above, today we have a similar situation, here. We’re bouncing back and forth between distribution above, and accumulation underneath, in the Russell, in the S&P, in the Dow we’ve seen it as well, and in the NASDAQ. Despite the indecision in the markets we were able to get some profitable day trading off in the Live Trading Room this morning, in our time together there. We’re taking advantage of some other techniques and strategies during this period of indecision while we’re waiting for, potentially, some type of larger breakout, or some type of larger move, after these markets potentially commit to either up or down-side action.

We have these levels that are still holding in place, that we were talking about yesterday, down here in the NASDAQ, at about 3850 at the bottom of the accumulation, here. We’re seeing numerous inventory retracement bars in here and key levels, here, in the Dow, which we don’t want to stay too far below, at this point, here, with the accumulation, with the inventory retracement bars, there, and also here in the Russell, and in the S&P. I’m looking, really, for this market to continue to the downside, would be my preference for future day trading. Of course, I’m staying nimble, in case we get back above those speed-lines in any of those markets and stay there with any conviction. We could see nice pops, there, if the shorts were to get caught and we’re to see the bargain-hunters step in. But, really, I’d like to see this move, a little bit of a breather, and break through some of those key support levels; this move, a little bit of a breather, and breakdown through some of those key support levels. Same thing, here, in the Russell, I’d like to see this same kind of action, and really any of these Stock Index Futures. So, being patient here to see what unfolds and which direction these markets commit, but in the meantime, taking advantage of some of the day trading strategies and methodologies that we use in the Live Trading Room.

A Closer Look At The Stock Index Futures For Day Trading Potential

As we zoom in on the Stock Index Futures, what I typically, or what I WILL be looking for, is similar to the approach I took this morning, which is looking for the weakest market, if the market is showing bearishness, and conversely, if the market is showing bullishness, then looking for the strongest market to get on board for some day trading. So, this morning, what that meant was the Dow and the Russell were showing the biggest weakness, so those were the markets that we focused on this morning. I don’t know where those markets will be tomorrow, or Monday morning, but that’s the approach I’ll be taking, is coming in to see which Stock Index Future offers the best strength, or the most weakness, or the longest ranged bars and the best volatility. The best stretches in either direction, which increases our likelihood of profitable day trading.

In some of the other markets here, taking a look here at the Dollar Index, you can see that the Dollar Index is really stuck, right here, in a zone as well, right at that round level of 81.50, with inventory retracement bar, right here in the back-drop, holding it down resistance-wise. So, again, the market isn’t closed yet but it looks like we might get a momentum-shift with trend, on this daily basis, right here. If we can get this bar to close above the speed-lines, then we’ll potentially have a long-side indication. And a long-side indication, if we can get back above this 81.77ish level, and trade north of that on this momentum shift bar, would mean bearish things for the Euro. And the Euro, at this point, has really spent a good portion of the day back-filling some of the accumulation that it posted yesterday. So, we have this inventory retracement bar, here, and it’s basically just probed down into that throughout the day, throughout the trading session so far. If we can get this bar, on the Euro, to close lower, or close below the speed-lines, here, then what we’re going to have is what we call an “equal and opposite”. We’re going to have a momentum shift breakout bar AND an inventory retracement bar here AND we’re going to have a momentum shift with trend. Generally, what that sets up is a sell signal to the downside, if we can have our fast trigger blinking red again and getting us to show bearish momentum, and our core trigger, here, still negative and our momentum still firing off negative. So, that could bode well for the bears, here, in the Euro Currency, so, I’ll be keeping my eye on that. We were actually watching it this morning as it pushed into that range of accumulation, to see if the bearish trend was strong enough and had enough energy and conviction to give us a tradeable trend to the downside, and it got really close there, but that was right about the time we got some heat, some action, in the Stock Index Futures, which we then started focusing on for some day trading.

Lots Of Resistance In Gold And Crude Oil

In Gold, pop over to Gold, here, despite Gold being up again today, it really doesn’t interest me really at this point from a day trading perspective, still. What I see here is this big, fat band of resistance overhead, and all of that is in the face, in essence, of a sideways trend. So, without this trend really having any conviction, here, the probability of finding successful resistance up into this range becomes relatively high. I’d like to see this market get some conviction to the upside here, to potentially come up and challenge these other levels. But, at an absolute minimum, get back above this 1325, 1330 level before it even becomes interesting to me at that point. What we have here, also, potentially coming into the close, is a hockey-stick, which is one of Rob’s patterns that we would look for, which would potentially give the market some pause. So, that there gives me additional concerns to the upside and keeps me from having any strong interest in this market, at this point.

In the Crude Oil market, very interesting, it just doesn’t want trade below this 97 level with any regularity. So, what we’re doing is potentially printing a momentum shift breakout bar, and we’re right at the resistance of the speed-lines. And you guys know, even if you’re only a subscriber to the Free Newsletter, the importance of those speed-lines, here. So, what I’ll be looking for in Crude Oil is if we can break back above those speed-lines, I’ll be looking to see if we can’t come up and challenge these price levels, or potentially the falling resistance levels, here, or if we can break-down below this 96.55 momentum shift breakout bar, see if we can’t open up some of that downside trading, here, from a bearish perspective. Also in a state of flux there, basically, in Crude Oil, because we’re battling some of this inventory retracement, here, inventory retracement bars, accumulation levels, right here, and we just haven’t gotten through them just yet. So, you can see the importance of those, as well, as they prove to be pretty formidable support on the downside. The nice thing that I do like about this, if it were to break to the downside is we have the speed-lines coming down on us pretty heavily, and with a little bit of pause and hesitation in here, that allows us to refuel and potentially have enough rocket fuel to get a nice downside extension. Of course, it looks like it’s due for an upside retracement, there, so I’ll be keeping an eye on that either way for any day trading potential.

The Bonds In Relation With The Stock Index Futures

In the Bond market, here, we are seeing something fairly similar to a lot of the other markets in that price action today was, basically, just back-filling, or testing, or moving through the inventory retracement that we made yesterday. And, this level, up here, is also proving to be somewhat formidable, at this 139.9 level, here, in the Bond market. We’re right up there testing tat resistance level. To this point and time we haven’t broken through it, haven’t moved through it. I’ll be looking to see if we can get a break through that, particularly if it coincides with the Stock Index Futures heating up to the downside. If I can get some downside conviction to those Stock Index Futures, then, that could give the Bonds here a little breath of life to the upside. As of now, it’s just becoming a challenge at that 139.9 level, and unless we can see some type of follow-through, there, we may have waning momentum and divergence, here, rule the day and just have push right back down into our rising support. So, if we can get the markets to heat up, and there still is time in today’s session, like I said, unfortunately, I have to boogie today, there is still time for that to happen, here, or potentially tomorrow.

Those are a couple of key markets I’m looking at, and how I’m looking at them there from a day trading perspective. Hopefully that gives you guys some insight and brings a little bit of value to your trading. I’ll look forward to seeing you guys either in the next round of videos there, or, if you’re Live Trading Room members and you were taking advantage to how we were analyzing and how we were trading, and making profitable trades in these indecisive markets , then I’ll see you guys first thing Monday morning, because I won’t be in the Trade Room tomorrow, so we’ll catch up Monday. We’ll be ready to hit it hard Monday for those that are in the Live Trading Room, otherwise, the videos next week. Alright, well thanks a lot you guys, have a great night and have some profitable trading this afternoon and tomorrow!

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