Stock Index Futures Trades Rob Is Hunting For Tomorrow

Welcome back everyone. As we take a look at the Stock Index Futures this evening, first thing’s first, it was all about the Russell today and to some degree the NASDAQ. What happened was that the DOW was very weak today; breaking down below the speed lines and for the most part the S&P was pretty weak here as well.  NASDAQ was holing up very strong so when it really came down to it, the deciding factor on how to trade today really came down to the Russell. So I basically told everyone in the Live Trading Room this morning that we need to break down below the 1163, it’s just that simple. We need to get down below 1163 and then look for the shorts. What ended up happening was, as we came out of the lunch session, going into about 1:00 CT this afternoon; you’ll notice that we started firing off on all of our indications of sell side trading. That was basically the best trade of the session. It had a nice push down toward the round number support at 1160 then quickly recovered into the afternoon because we just don’t have full support yet from the NASDAQ and all the the other Stock Index Futures.

What we need to do, going into tomorrow, the strategy is going to be identical. The speed lines are going to be right on top of us and almost underneath us actually for some of these going into tomorrow. So, we want to see if all four of the Stock Index Futures can have an additional sell side day and then I will be much more aggressive with the shorting going into tomorrow. So, watching that NASDAQ is going to be important as well as the Russell, making sure that both of them get below the speed lines tomorrow. So, it’s nice to see the DOW and S&P weak, but we want to see the other 2 weak as well if you want to look for short. Remember, we are taking advantage of this as traders. This is going to be a great summer to be a trader. Whether this market has a crash, whether this market continues to slowly rally up, lots of these opportunities where we’re getting lots of signals firing off are going to be presenting themselves. So, we’re focusing that from a trading basis when looking at the Stock Index Futures.

Swing Trading And Other Markets We’re Watching

Now, from a swing trading basis, let’s take a look at a few of the instruments that are important to us. Right now, one of the key ones that I am watching is the Euro. The Euro, I would like to get down below the 1.3480 level. That will get us below this major accumulation bar here as well as the accumulation and what we call a momentum shift bar that we saw back in February of this year. Plus, the 80/20 rule kicks in for all of you that are familiar with that rule of mine. I’d like to get down below that 80 and clear away from the 1.35 resistance. So, we are going to be watching for 1.3580 and if we get that we are going to be looking for a quick move to the 1.34 so, we’ll be keeping an eye on that.

And, one more that is very much on my mind is Crude Oil. Let me just take another chart and show you Crude Oil from this morning’s discussion in the Live Trading Room. Crude Oil is a big deal from my perspective both as a trading instrument and a swing trading instrument.  We’ve hit these levels over and over for some time now, approaching this 10500 level that I have been talking about and kind of coiled up. Now we’re testing that area again. Meanwhile we’ve been making these lower and lower highs but if we draw a trend line on it we’re about to potentially break out above that. If that happens, that could lead to much higher price on Crude Oil. So, once again we are watching this 10500-10520 area for healthy swing trade breakout on Crude Oil. So those are a couple of the key things we are watching here.

Have a fantastic evening. I look forward to seeing you in the Live Trading Room tomorrow morning or in tomorrow night’s videos here. Take care everyone.

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