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 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.