Look At These Markets Go And How We Did Day Trading!

Welcome back! A day of some unusual activity, from my perspective, in the market. It did a couple of things that were a little bit outside of the norm but it was great to see both the room do that and then follow through into the afternoon. First things first, as we are going ahead and taking a look at the EURO it went ahead and had a nice little pop this morning. I actually was focusing in the Live Trading Room at entering long side orders. I think pretty much every order I entered was on the long side in the EURO this morning.

As we closed up in the EURO we stopped right at the 13700 level. Now I want to get through that level in the overnight sessions and look for long side trades into overnight. Initially, I’ll be focusing on tight stops through there because I don’t want this to roll right back over. We do have a hockey stick sell and that can often lead to pull backs. So, any sort of long side trades will be trailed pretty tightly there.

Analyzing Today And Looking At Day Trading In Gold Tomorrow

Another thing that I did was executing live trades in GC after the pit session closed this morning. I tend to back off on GC after the pit session closes at 12:30PM Central Time. Today we went ahead and pushed through here (on my charts at 1:37) and so I had to focus on long side day trading keeping the open opportunity that we had more room to grow to the upside. As you know, we’ve been sitting here for several days and even this morning we were sitting right down here at this 13200 level. We went ahead and starting popping out of the blue here to the upside. This was giving me long side trading and once we got through that 13220 area, which was an area I told you we were going to be focusing on, then that was even more convincing for me. As we go into the next couple of days in both the overnight session and into the US session each day I am going to be watching GC. Let’s see if we can get some follow through here. Remember, this is the first push through this several day consolidation (on my charts at 2:31). We’ve been sitting here for many days and now we want to see if there is some pent up demand. Certainly you saw, if you watched the intraday chart, you can see just how fast this thing spiked up in the middle of the day. Now we want to see if that enthusiasm be harnessed and pushed through to the upside. We have potentially several hundred more ticks of opportunity. You can bet I am going to be watching that very closely for future day trading.

Rallies In The S&P and the RUSSELL While Day Trading Today

As we look at the stock index futures, I will be taking a look at that going into tomorrow. That is usually the first thing that I’m taking a look at each morning. The NASDAQ continues to rally. We continue to go ahead and rally and we had resistance here throughout the day (on my charts at 3:15), double-dutch resistance as I kept referring to it, in both the S&P and the RUSSELL. These two distribution bars held us even into the end of the day despite the nice little rally we had. We also had the DOW sitting right there at the daily speed lines. Going into tomorrow you can imagine what I want to see. I want to break through that key resistance that we have here on the S&P and the RUSSEL (on my charts at 3:42). I want to see the DOW start to launch off through today’s highs clearing the way for another 100+ tick rally into tomorrow.

Let’s see if we can continue those good time feelings to the upside here a bit longer. Those are the primary things I am going to be focusing on tomorrow for day trading (EURO, GC, and the stock index futures). You all have a great night and I’ll have more for you tomorrow evening. This is a great start this evening. Take care everyone and have a great night!

Join Rob For Two Days Of Live Day Trading Events!

Hey, welcome back everybody! Boy, lots to talk about tonight, important messages for you about upcoming live day trading events. Let’s go ahead and start with a couple of things here.

First things first, I love to see the $VIX doing exactly what it did today. Whenever that happens it’s all but assured that I’m going to be day trading and that’s exactly what we did in the Live Trading Room nice and early this morning. Had some beautiful upside trends and was able to get some nice long side trading in here this morning. That was very helpful for people. As we go ahead and look to see if we can continue that move, the higher this goes the more trading I get. Which would be nice after today’s moves to see if we can get some continuation with tomorrow & Thursday’s live day trading events. That should help you guys get to watch some great live trading.
As we take a look at the Euro, I’m going to be watching it to see if we can push down tomorrow, get back down below the 1.35 80. I’m not nearly as big of a fan of it in that area as I will be down below 1.34 80 because that’s where we get below this accumulation bar but if it does get back down below the speed lines here and starts pushing back down I will be entertaining shorts there so stay tuned on that.

Looking here at the magic 13 20 level, it continues to be very important. 13 20 on Gold is an area that’s been very important. Lots of touch points. Not only in the recent past but as we move this back you can see just how important it’s been over and over again in history here with Gold, it was a great support level multiple times. Where we’re at we’re right at that level right now as you can see as I just showed you, looking to see if we can push through here. We have a lot of room to the upside, almost all the way to the 1400 level so about 800 ticks above us. That’s about 8000 dollars a contract if we can break out there. So as you can imagine we’re watching that very closely. As you can see now for four days we’ve been sitting right at that level so very important as well.

As we get to the Stock Index Futures, well, as I said that was great. Started out this morning above the speed lines, the NASDAQ was even more so strong. We had some nice trends to the upside giving some nice long side day trading this morning. Then in the afternoon it rolled over here and gave some great sell side activity and indication. Looking to see if we can get that to continue going into tomorrow. In fact, as we look at the Stock Index Futures, the four of them together here… You’ll notice the NASDAQ is still strong. It’s at the speed lines holding on for dear life so we’re going to be paying attention to that because we have the other three already below their speed lines. What I’d like to see is for us to continue to watch at NASDAQ drive down. It had a nice distribution bar today. Close well within the previous distribution bars here, so now I’d like to see follow through to the down side here. That would be favored. We had a negative divergence on the Russell here as well so I’d like to see even more follow through going into tomorrow and Thursday. That should leave off for some good trading for the two days we’re at the events we’re going to have.

Two Upcoming Days Of Live Day Trading Events

To that point, a couple of different things that are very important: In July I have a lot of events planned for you. I want you guys to be there for them but we’re doing some things different going forward here. for you to keep getting these emails on an ongoing basis, all of you received an urgent email from me today, it’s a dedicated email to you that I sent earlier today reminding you to click this button right here so you can be invited to all those events going forward. We’re kind of cleaning the list up there, finding gout where different students are all over the world. Laws are constantly changing in different areas like in Canada for instance a law just changed so as we’re doing that we want to make sure we’re getting the right information to the right people. You only have a few more days left of these emails if you don’t click on that button. So what you do is click, ‘Yes! Don’t forget me” and what will happen from there is you’ll get this little box. Put in your name, email and the country that you’re from so we can make sure you get the right information. It’s just that simple but it has to be done so that you can keep getting these free nighty videos, keep being invited to the live trading events and keep coming to the free public Q&As and also any events I do with any partners that you guys would normally be invited to.

All that’s going to stop after this weekend so you really need to click that button right here right now on that dedicated email or the email that we sent you tonight. What you’ll do first, come to tomorrow’s Live Trading Room. You’ll click right here to register for the live event with Infinity Futures tomorrow, that will be great. Then to keep getting my emails and come to Thursday’s event with us personally with Become A Better Trader you’ll click this right here and that will give you the chance to click that, if you have your popup blocker turned on like I do here just turn that off. That will allow you to pop that up and you will then be eligible to come to our event on Thursday.

Very important that you do those things so that we can get you to continue to receive access to these live day trading events and the nightly emails. With that being said, right now start with this link here. That will get you into tomorrow’s event. Then go to this link right down below it so you can go ahead and come to Thursday’s event as well. Great stuff looking forward to seeing you at those events and many more that we have planned for you in July. Like I said we’re going to have a great back half of the year. Nice start to the first half of the year, let’s go ahead and drive it home into the back half as this volatility is starting to pick up as I just showed you a few moments ago.

I’ll see you at these two events gang! Have a great night, take care.

Key Markets To Watch For Day Trading Moves On FOMC Week

Welcome back gang, happy Monday!  Hope you enjoyed your father’s day weekend.

As we take a look at day trading this pre-FOMC week here, a couple things that we want to keep in mind…

Key Markets To Stay Focused On For Day Trading

First things first, the Euro.  The Euro continues to be stuck between the 1.35-1.36 level and I continued to not do anything with it until such time as it breaks down below the 1.34 80.  If it starts to break back above 1.36 chances are I’m not going to do much with it because we’ll be right up into this gobily gook of this numerous resistance levels above us.  That’s the key thing, let’s see if we can get down below that 1.34 80.

Looking at Gold, it is also in a congestion band where we have the rising speed lines falling resistance, that’s called the kill zone.  You’ll hear that theme a lot tonight.  When we get into those situations we just look at whip saws back and forth so there’s nothing to do in there as far as day trading is concerned.  It’s kind of just a chop fest for the retail traders.

Crude Oil here went ahead and stayed within the confines of yesterday’s distribution bar.  Now we have a double distribution.  So as you can imagine what I want to see is can we get above this double distribution.  That could lead to much higher prices.  Otherwise we’ll see if we can ultimately get back down below the speed lines here.  Remember these can move up quite a bit going into tomorrow.  So we move up here then we’ll look to see if we can get a nice speed line back to the 20 type trades.  Those will be the kind of things I’m watching with Crude Oil.  Remember, a lot of that is going to be news dependent.  Make sure you keep an eye on what’s happening with the situation in Iraq so that we know more about where we are going to be day trading.

I’ve been asked a lot about Bonds here.  The thing is gang, in advance to the FOMC and in this congestion zone from the last few weeks that’s just gambling from my perspective.  That is nowhere near the higher probability strategies that I shared with you previously, where we were looking at the break outs, pull backs and then resumptions.  Those lead to some really nice day trading opportunities.

And this, this is a bunch of gobily good because a lot of key support resistance levels, everything is treading all over itself.  We’re not really breaking above any of my major resistance levels to get to the next one.  Or down through some major support to get to the next support down below.  So right now in this area all bets are off for the Bonds.

Kill Zone In The Stock Index Futures

The real theme for today was with the Stock Index Futures. We walked in the door and stayed there all day trapped in what we refer to as the Kill Zone.  Much like what I was telling you about with Gold there.  Whenever we get my speed lines going one direction, key support resistance going another direction and we get trapped in there that’s called the Kill Zone.  You can see multiple times here on these different charts we’ve been trapped the last several days in those areas.  Whether it’s the S&P, the DOW, you name it.  Here key rising support vs. the key falling speed lines and so what’s happening is we’re getting ricochets back and forth, a lot of neck breaking activity here.  For instance, one of the trades I kept people out of this morning was right here where we’d been firing off my indicators in what we call a blue nine situation.  We’ve got blue three, blue six, blue nine.  Great long side trading opportunity but I’m like ‘look, we’ve got this buy side trade but watch out, we’ve got daily weekly resistance and then we have the speed lines and they all feed the stock index futures.  The bottom line was no sooner did I say that, a few moments later we rolled over, dropped immediately about thirty ticks and a short time after that dropped another seventy for a one hundred tick reversal which is over five times over the max loss of twenty ticks in the Russell for the average retail trader.  This thing rolled over and died a horrible death shortly after I brought that to people’s attention.

When we’re looking at this in totality, what It all boils down to is the speed lines going into tomorrow’s session.  We’re still pre- FOMC, we’ve got lots of news coming out Tuesday thru Thursday.  I’m going to see if we can wake up and get up above the speed lines and start taking off like a rocket here or are we going to hold these levels and roll over and start pushing back down towards rising support levels down below here.  That’s kind of the key theme and frankly to be quite honest I hope it goes up.  The reason being because that’s the path of least resistance.  Going down here, we’ve got a lot of gobily gook, messes of support levels down below us where as we get above the speed lines here we’ve got a lot more air up above as you can see.  I certainly would like to see it go ahead and get above there.

That being said, that’s going to be a primary focus going into tomorrow and don’t forget what I said about those other instruments.  You guys have a fantastic night!

What Rob Is Looking To Day Trade On Friday

Welcome back! This video is actually being done midday on Thursday because I’m getting ready to jump on an airplane. I’m getting ready to jump on an airplane to see some of you in Kansas City for my talk this weekend. A couple key things from this morning. All morning it was all about the fact we’re holding the speed lines here. We could not break down below them. The NASDAQ and S&P in particular just would not push through even in the middle of the range in the Russell, in the DOW were able to just briefly pop a little bit into them but still well above the slow speed line here. And to make a long story short, what that means is there’s still plenty of support here to this market at this time. I cannot go ahead in good conscious be getting aggressively short on a day trade just yet until we’re a little bit down here below the slow speed lines because that could be very hazardous to your financial health. You can see in just the last several days we’ve been holding those very well there so I really want to see us break down below them before we get too cute with the short side day trades. The people that were dipping their toe in the water off the opening range this morning, after the news came out of pending home sales that went short when the market had dipped this morning, were sorely disappointed as it quickly rebounded against them, but we didn’t get caught in that.

As we go ahead and go into look at a couple other markets, the Bonds is now approximately three quarters of the way to the target that I gave you after the set up that we talked about here in these nightly videos.

As far as the Euro, it is still sitting there kissing and flirting that 1.36 level. As of yet, no trade there quite yet. Looking to get down particularly below the 1.35 80 level so that helps with breaking my 80/20 for further downside movement there. Right now, going to be watching 1.35 80 really close for the Euro.

Those are a couple of things I want to share with you tonight and going in to tomorrow we’re going to be focusing on those speed lines, going to break down below them or do we launch like a rocket off of them again, that will help determine whether I will be focusing on shorts or longs going into tomorrow’s session.

You guys have a great night, I look forward to seeing some of you in Kansas City & everyone else in the videos. Take care everyone and have a great evening!

The Market Is Ready For More Big Moves And More Day Trading, Are You?

Ok welcome back gang! Let’s look at a few different markets here this evening. Steady as she goes, as it relates to the Stock Index Futures, here. Stock Index Futures opened up above the speed lines on all four Stock Index Futures this morning, so, the focus was completely and 100% on long-side day trading, and rightfully so.

Resistance In The Russell

As we go into the coming days here, we’ve got a little bit of resistance on the Russell. We’ll see if we can get above that resistance here on the weekly chart. We’re also watching the weekly chart. The weekly chart has been an extremely important chart, here, for the Russell. We have, for seven weeks, held on for dear life at the key support that I’m sharing with you down below. And now we are trying to break through the upper end here. So we’re going to be watching that very closely for future day trading. If that can continue on, that could be very powerful short-covering and fresh buying going into the next several weeks, as people who bet this was going to go down. A lot of people, a lot of bearishes, and I certainly wanted this thing to go down like you wouldn’t believe because the elevator always goes down faster than the ride up, but at the same time, I was wise enough to realize I couldn’t put that trade on until we actually got through.

So, it was just intraday shorts only, no big swing trades. Well the people who took the big bets, now, are going to have to cover here potentially if we get too much further ahead. So I’ll be looking to see if we get some wide-ranged days to the upside. Again, that’s the beauty to the end about day trading, we can go and look at this very objectively, and then trade what we see, not what we are being told by the pundits and the news. Great stuff there, and steady as she goes with that with what we were focusing on this morning.

Key Targets In The Bonds

As far the Bonds go here, Bonds have closed back above the speed lines here. So, right now, unless we trade back down below 13627, we’re going to be focusing more aggressively on long-side trades. The next major target there is 140000, as you recall. As long as we stay above 13627, we’ll be focusing aggressively on long-side trades there.

Winding Up In Gold

And then of course, Gold. Gold is one of the key featured instruments from this past weekend that I shared with you, because we’ve been winding up, winding up, winding up, for months here, and today, we ended having a pretty good smack-down. A couple of hundred points, a little over 2%, there, on Gold, which is great to see. Because what this did, is this got us below numerous accumulation bars that have been a source of stress the last several weeks, and going into last month, frankly, for this. We kept making higher and higher lows off these accumulation bars, after accumulation bar, after accumulation bar, after accumulation bar. And meanwhile, we had the distribution bars up ahead. So, we had all this mess in here, this “gobbly-gook” as I refer to it as, and it was just a mess of what we really didn’t want to trade.

Going into tomorrow, and beyond, right now we are closing below that final accumulation bar, here. The key is, do we have continuation or is this a “one-hit wonder”? This is a “one-hit wonder” where it spikes all the way back up here. There’s nothing to do with this. If it has a small retracement up, or it continues to the downside here, then we could be in for a great ride, and I’ll be focusing very aggressively on trading to the short-side if, and only if, it has either a small retracement back up, or no real retracement, just kind of goes up a little bit and starts dying again. But if it has a full-blown retracement to the upside, I’m not going to be doing much with this, because that just puts us back into that range, and we’ve seen what happens with that, right back over here, where it looks like it’s the end of the world as we know it, and then the next thing you know, it’s right back up into that range. So, one day does not make the trend is the key here, so far. But history has shown us many times in the past. That when we have these long-term consolidations, that are usually good for wide-range, multi-month, and certainly multi-week at a minimum, activity, directionally. So we are going to watch this big time, going into tomorrow, to see if we can get any sort of follow-through, or only small retracements, and then which we will then anticipate more follow through.

So those are couple of the key Markets to watch for going into tomorrow. You guys have a great night, and I will look forward to seeing in the Live Trading Room or in tomorrow night’s videos here. Take care everyone, bye!

Get Ready For A Lot More Day Trading And Training From Rob

Well hey, welcome back everybody. Rob here with you. As we get into tonight’s video, I just want to remind you first, make sure you checking your emails over the next couple of days from us. We are going to be inviting you to a couple of different online and in-person live events that are coming up here as well. I’m looking forward to seeing a lot of you guys at these fun events to come.

As we look here at the Euro, the Euro is a great reminder today, gang, of what I always tell you at these breakout strategies; we are looking to break through a key resistance level or support level, how we always want to make sure we are trailing our trades. You can see here that we did get within a few ticks of my target here today at 1.40, and then turned right around and stopped, and dropped, and reversed. So it is always important to keep that in mind, that when you are trailing these, even if it may looks as if it is getting close, you don’t want to be that jerk for those few extra ticks. If it’s stalling out, and that’s your actual, official target, you just trail it up. And I’ve shown that at many presentations in the past, and this a fantastic reason why. If you didn’t do any trailing since the 1.39 level we talked about, you’d be sitting there on a loss instead of a nice profit.

As far as Gold today goes, it was a little bit of a disappointment. I was all excited we might get a little bit of a deeper breakdown here for some good day trading, we’re below some key supports. But we’ve got this accumulation bar down below, and we stopped dead, cold at the top end of it basically. So here is the top end of it, right across we stopped. Remember, the whole point of an accumulation bar, the whole area ends up being a key support level.

As we talk about Crude Oil, Crude Oil is kind of still trapped here. I prefer, again, to either get above 102 or 98.70 to start day trading, so that hasn’t changed.

As far as the Bonds are concerned, the Bonds basically got all within a few ticks of my target here. As you recall, we were looking for the break out through my key resistance, a pullback to support, and then a rally back up to the target. Well this target was 136.28, we got within a few ticks of that just today, so target achieved from my perspective. You recall before, we’d been talking for months how we would come back to my support line here, and instead of stopping, we’d just keeping going through it. We’d push up, we would not stop, and then go back up, and just keep going through it. Over and over again. Finally, it did what we were looking for for the last couple months, pushed back up, stopped and reversed. That gave the buy signal, and then pushing up here to the 136.28 here, was the target. Now for fresh day trading here, a lot of people are like “Well can I do it now?” it’s like “Well no, actually, you were supposed to do it back where we talked about it”. From my perspective, now what we want to do is do the whole thing: rinse, cycle, and repeat. We’d want to see us get through this resistance at 136.28, pull back to it, and then look back to take back off it, the next target would be 140. So take all the great information I’ve shared with you, it’s repeatable into different market environments.

So as we look at the Stock Index Futures, that was just exciting today. We had the 2 and the 2 to start out this morning. We had the Russell and the Nasdaq, go figure. Those two have been in cahoots for a long time, holding down below the speed lines. And then meanwhile, the S&P and the Dow were very strong. But in the end, what happened was, and that’s why I say it was all about watching these two culprits down here, if they could not sustain a move above the speed lines here, look out below, pushing right back down. That’s exactly what happened. Now we’re still trapped, at this time, at these key accumulation areas right down below. Remember what I said about yesterday, the false accumulation breakout that happened yesterday here. We talked about all the reasons we did not take that particular one: running out of rocket fuel, S2 (Normal Statistical Maximum Daily Range) right at that area. And so what happened, though, is we got right down into that level. Very encouraging. Let’s see if we can push down below today’s low into tomorrow’s session. It might make for a nice Friday’s sell off. I’m quite OK with that, as you can imagine, a nice way to go out with a bang for the week with some good day trading.

So, fantastic week I’m really excited to see how we can follow through into tomorrow’s trading. Keep in mind what I said about all those other key instruments that have already been moving in many cases, and other ones that are set to move. You guys have a great night. Stay tuned for upcoming events with me, and I’ll see you in the Live Trading Room tomorrow morning or in those upcoming videos. Take care everyone!

Key Areas To Watch In GC, CL, EURO And The Stock Index Futures Going Into This Weekend


Well hey gang. Good evening. First of all I just want to thank several of you that watch this nightly video newsletter were actually in my presentation this morning at eight o’clock. You guys had lots of choices of who to go see, including some of the other big names in the industry and you chose to be with us. Our room was absolutely packed. We have people standing all along the sides and back during our event. There was well over 200+ people there and it was great. It was the best attended event this morning. Thanks so much for making great!

Using The Indicators As A Signal For Disaster

As we take a look here this evening at the EURO. I just want to make sure that you guys understand, I continue to be disinterested in the EURO for the time being until we get above the $1.36 level or below the $1.34. One of the things that is on my mind too, do you see my Fast Trigger is going up (on my charts at 1:18) and my Traditional Trigger is going down? Whenever you have a situation like that it is a recipe for disaster. I’m looking to see confluence between these different instruments and looking for trends in that way. When I’m seeing things split decision that usually means volatile moves ahead and good place to get your head chopped off. So we are going to stay away from the EURO at the moment.

The Accumulation Area In CL

As far as CL is concerned it was in a similar situation. We have rising Fast Trigger (on my charts at 1:51) and the core trigger was going down. That’s an inflection point there where on is going to have to get on board with the other. So far what’s happening here is that we’ve held this accumulation area down here (at 2:05). We never did break down below those areas. I was looking to see if we could get down to that $90 level. So far it’s just not happening. What I’m going to be watching for tomorrow is this $95.20 area. I’m going to see if we can start pushing towards the $96.20 area. So that is going to be an area I am very focused on and very active in. What I don’t want to do is focus basically on the $95 to $94 area. This area right here on my charts at 2:35, that’s a kill zone. That is a dangerous place to be. I’m going to see if I can look for some long-side trades above that $95.20 area.

Beating Thursday Low In GC

As far as GC is concerned it held right below that channel I had drawn for you. That was basically the high of the day. There is so much opportunity to the downside. First things first though, we have to get below Thursday’s low. If we can get below the low that could lead to some rapid descents to meet some of the previous lows. If we start trading back up I’m not going to be interested in long until we get back above the $12.60 area. Then I’d look for some short term longs back to around the $12.70 area. I’d much prefer the short-side trading opportunities there. We will be watching it though.

Whipsaws, Rollovers, & Speed Lines In The Stock Index Futures

 

Another thing to watch is these stock index futures. I can emphasize this enough. This continues to be a very key thought here. The stock index futures, early on, were below the speed lines here. You’ll notice as we go back and look at the DOW futures it quickly recovered from below those speed lines and got above. What’s happening here is that we are looking for all four of the stock index futures to be either below or above. Now as we go into tomorrow’s session, I’m actually watching these distribution levels right above here (at 4:23). If we can break above that distribution, as long as all four stock index futures stay above, I have to be looking for longs and if we can actually break out of these distribution areas here. We do see some signs of waning here with the magenta, blue, magenta but we have not gotten that confirmed yet with a rollover back to the speed lines. If we can get back below the speed lines I will gladly look for short-side trades. That is going to be the focus on tomorrow’s session. It is important that we do watch what these are doing because it can lead to some very dangerous whipsaws against you.
Tomorrow is going to be a pivotal day. We’ll revisit everything the holiday week of Thanksgiving. Sometimes we get some decent trends leading up to Turkey day. Have a great night and thank you for making today fantastic.

Rob Hoffman Reviews Key Thoughts To Remember From Today’s Trading Day

Ok gang, fantastic stuff today. Let’s just run through it by the numbers. First of all, as we’re looking at the EURO, the two main points that I’ve been watching on the EURO is above $1.36 or below $1.34. AT this point what I’m going to be doing, we had this massive key reversal that took place today (on my charts at 0:35) and what I’m going to look to see is if we can continue down now below the $1.36 level and push even lower here. So, that would be the favored. We have had a very long move in a one day basis so it might have to pop up for a day or two. No matter what happens I’m going to see if we can’t get back down below here. That would be the favorite trade until such time as we get back up above the $1.36 and I’ll be very gung-ho about the $1.36. In the meantime, $1.34 is very much on my watch list this evening and going forward the next several days.
As we look at crude oil next, it once again tested that key accumulation area that I have been talking about the last few days. You’ll notice going from last week (on my charts at 1:20) we had this big accumulation bar and we keep testing it over and over again. We have no broken through it but if we can break through that area I will be looking for a move do to around the 90 level. So I’m watching this minute by minute looking for trading opportunities where we can push down.
Gold as you know I’ve been very bearish on. On gold we went ahead and started piercing through this key accumulation bar that was set over here (on my charts at 1:44). This long term band of support and resistance has been key not just from that accumulation but even into the backdrop as you can see on my charts (at 1:51). I’m really excited about this and what I want to see now is if we can hold at or below this blue band here (at 1:59). It can travel back into the blue band but I want to see it stay in that area or below. If that happens and we start to push back down it could lead to some fantastic sell-side activity. We traded short in gold in the Live Trading Room the other day and this is just kind of an extension of that process from the other day.

The DOW As A Key Index To Watch

Now, let’s look at the stock index futures. In the stock index futures it was all about the DOW just like we told you. That was the focus in the Live Trading Room, the focus beyond the Live Trading Room and right here in these videos. What we knew we had happening was the S&P, the RUSSELL and the NASDAQ were all at or below their daily speed lines but that DOW was just resisting travelling down this morning. So, we went ahead and shared with people what we’re looking for which is to get back down in the afternoon session after the FOMC statement. If we could do that, any sign of weakness and pushing through the slow speed lines on the DOW would lead to short-side opportunities in the RUSSELL and that. That is exactly what ended up happening and those are exactly the trades that I ended up taking this afternoon. Once we had that news announcement come out it lead to great retracement trading which is what I was focusing on and then nice shorts to the downside. Absolutely perfect, we just had to be patient; we had to wait for it. We were waiting, waiting, waiting. We knew exactly what we were looking for. We broadcasted that to you here even in the previous videos and certainly of course in the Live Trading Room.

Reviewing The DDD Opportunity

Now, as we go into tomorrow. I’m going to be watching the DOW once again to see if we can get sell-side activity and maybe get a speed line to 20EMA trade. That would be fantastic. That really dovetails into what we talked about here in the previous Swing Trading Video and then in last night’s video regarding DDD. It continued to go right on through today. The other day at $83 I was talking to the students in the Live Trading Room who were asking about it and who were looking at preserving profit. We talked about all the reasons why I felt that it was time to go ahead and get out of this trade. The absolute cut off point that I’d be looking for. Sure enough, as soon as it broke through that cut off point the thing nose-dived yesterday. In last night’s video I shared my concerns with you about this going right back here (on my charts at 4:36) for completing a speed line to 20 trade (one of those favorite options trades that have made our options trading so successful). We went ahead and closed out another options trade today. Fantastic stuff. So the methodologies were great and we came all the way down to that target in just two days after going ahead and mentioning that to you here. It dropped about 17% in two days. This was really great stuff for everybody to learn from.
To that point, as a reminder, if you guys want to be part of the nightly Swing Trading and Day Trading newsletters you can do so by going to www.becomeabettertrader.com/now. We’ve got a great offer going on for you if you want to get those videos nightly with some great content, some extra goodies, and also the Starter Package of Indicators so you can see some of those things happening. Just think about how much money you could have saved or made on just by doing something with this particular trade on DDD.
Keep learning from us each and every day. We look forward to seeing you in the Live Trading Room, in the videos tomorrow, or as you know, we are in Vegas at the Traders Expo and will be here all day tomorrow. Have a great night everyone.

What We’re Looking For Next In Index, Gold And Crude Oil Futures


Welcome back everyone. Rob here with you. First off, before we get into tonight’s information I was to go ahead and thank all of the fantastic people from around Germany and surrounding countries that came to the incredible event we had on Saturday at the World of Traders in Germany. It was extremely well attended. Every seat in the entire room was filled and there were people lining each of the side wall and back walls. So pretty exciting to go ahead and have so many people come to that awesome event.

Looking Forward for Short Opportunities

As we go ahead and get started tonight here, let’s look at the stock index futures. From my perspective, the big thing I’m going to be focusing on tomorrow is: can we get below the speed lines? Especially the fast speed lines on all four of the stock index futures. You’ll notice we’ve got the S&Ps here at 1:04 are basically sitting right at the fast speed lines right now. We have the Russell actually below the fast speed line and it is at the slow speed line. The NASDAQ also took a little bit of a hit on today’s session and went ahead and pulled down through the fast speed line and is at the slow speed line. The key is the DOW. The DOW has been a little stronger here and is holding above both the fast and the slow. So we want to see if we can get that one to start pushing down tomorrow. We’ll see if that will offer up some short opportunities.

The Three to One Rule of the Indices

It’s really important that we get all four of these showing the same message. If we have one that strays that usually becomes its own individual trading opportunity. For instance, this morning, that is exactly what ended up happening with the Russell. You notice here at 1:55 that most of these instruments were actually trading up this morning (S&P, DOW, NASDAQ) however the Russell was pushing down. This is a screenshot at that time (4 minutes into the US open). Notice what happens though, I pointed that out to everyone and then we start seeing it get more exacerbated where we had the stock index futures up here (on my charts at 2:19) crude oil was here and the NASDAQ was dramatically down. Well, conventional retail trader wisdom is that the one is probably going to go back and meet the three but in the real world what I often find is to be just the opposite. Typically the three come back to the one as you’ve heard me say many times in the past. What ended up happening, as sure as can be, you’ll notice that it got much more intense a few minutes later (on my charts at 2:42). That first slide was at 8:34AM. Within seven minutes you’ll see that, now all of a sudden the other stock index futures started coming down with the markets. So you’ll see the DOW sort of pulling off its highs here at 2:55. It got even worse and then the DOW started coming down even more. So gang, this is a great way to help you identify areas that can offer up some really fantastic trading opportunities. I’ve talked about it many times in the past and I wanted to share that with you again tonight.

Keeping an Eye on The DOW for Tomorrow

So as we go into tomorrow I’m going to be watching what happens with the DOW. Does the DOW get on board with the other three there and start trading back through the fast speed line? Maybe we’ll start finding some short opportunities if so. In the meantime I’m going to be focusing on gold and crude oil. Of course as we’ve talked about in some recent videos, I had some more bearish outlooks on crude oil for the reasons I mentioned. US oil production stepping up and looking to surpass that foreign counterpart by 2016 and so on and so for. What I’m looking at on my charts at 3:50 is we’ve got this nice accumulation bar that we set from last Thursday. You’ll notice we ate into that pretty good today. I’d like to see if we can break through that low from last Thursday which also happens to be a Momentum Shift bar as well. So that could be a nice signal. I’ve been looking for this opportunity to get moves down the ninety dollar level. We’re going to be keeping a real close eye on that going into tomorrow’s session. The reason why it’s important is because we saw this same kind of thing happen this morning in gold.

Hoffman Hockey Stick in Gold

First of all, gold went ahead and had what we call, the hockey stick here at 4:21. It’s kind of a Hoffman hockey stick and you can see that is up and over here. Typically what you are looking at after a situation like that is a pullback down. So, that was the first thing.  Then as we looked into the intraday session we needed more information to actually trade with. Well, early on this morning we had this really nice accumulation bar and we’re going to go ahead and be looking to break down through that. You’ll notice on my charts at 4:49 that once we broke down through that, it dropped over sixty additional ticks. That was actually the trading focus (we shorted in gold this morning) in the Live Trading Room.

We’ll be talking about that at the Las Vegas Traders Expo where we will see several of you. We will be talking about this trade set-up and many more at my talk during the Traders Expo. We really look forward to seeing you guys there in the next couple of days. I just wanted you guys to see (on my charts at 5:17) what our focus was there.

Going into tomorrow we’ll see if we can continue that move down. Particularly, I’ll be watching for short opportunities below the twelve seventy and then getting even more excited below the twelve sixty level. So, we’ve got gold and crude oil with some great opportunities and we could have some great opportunities in the stock index futures if we get some more sell pressure coming in there tomorrow morning. If we can get all four of the stock index futures to start punching back to the upside sharply that too could offer up some great opportunities in itself. Right now I’d like to see a little bit of a correction here. I was at my barber earlier today and even he was like “Wow! You know DOW 1600. What do you think, Rob?” You know when I start seeing people off the street getting so excited about it I’m usually more excited from a trading perspective to see some more aggressive pullbacks when everyone else gets excited.

Those are going to be a couple of key things to watch going into tomorrow. I look forward to seeing each and every one of you in the Live Trading Room tomorrow morning, in tomorrow night’s videos, and hopefully a whole bunch of you at the Las Vegas Traders Expo for our big event. Have a great night and we’ll see you shortly.