This was worth the wait day trading crude oil futures

Click Here To Review Our Automated Trading Results From This Morning

815am est

Reviewing Gold Futures today we being on the 89 range chart:
- Strong Bullish Trend

- Sideways range from 38.7 down to 24.7
- Larger sideways range from 38.7 down to 03.2
- We see major support from a swing high at 1519.0
- We are at the highs of these ranges

We open our 34range chart to try and define the specific price levels we will be using, and look for more detail in our trend lines, channels, and ranges

- We see a new bullish price channel in blue trend lines
- Price channel tells us to buy pullbacks today as the higher % trade
- Sideways ranges below us give clues for the bullish sentiment, however, don’t forget the PHOD is below us, which is act like a price magnet

- We don’t have any levels above with the exception of the highs of the channels
- We do have ranges below us, and we look for sellers to enter the market if w break below 1519.2
- Big Money Trigger Line acts like a price magnet and will try and draw price down to 1511.1 area. This is also the lows of the channel, so look to buy.

840am est

- We see news come out and the markets are still quiet
- We see the dollar index is in a short term bounce up off the lows of the range from earlier this week
- We have a question to ask for the dollar…will it rise off this support or will it keep dropping?
- If the dollar rises we want to sell, and if the dollar falls we want to buy.

910am est

- There is no big money in the markets
- Without the big money the moves we want to take will not be very often
- The big money provides the direction, without it, the little guys (aka US) will just push it around within its trading range

- Lack of big money:

o Be very careful, this is NOT going to be the BIG MOVES
o Use the range we’re trading in right now as your focus
o This can change VERY quickly

1000am est

- Crude oil futures are trading around the 113.00 big round number
- We need to plan our attack for the remainder of the morning

- If prices rise:

o Selling the highs of the wedge at 113.30
o Selling 113.38 resistance
o Selling 113.98, 114.00 big round number
o Selling the highs of the price channel
o Sell the HOD at 113.40
o I will also consider buying pullbacks with new higher highs
o I will not buy the highs, I will wait for a pullback

- If prices fall:

o Im buying support at the lows of the price channel
o Buying support at 112.25, 111.70
o I will not sell at the lows, but I will sell a retracement after we make new lows
- Now that we have our best levels located, its as simple as waiting for price to come to us
- When the price gets to these levels we then use our 3 price patterns and our entry rules to qualify a trade.

1010am est

- We see all three BMT’s are the same price level on crude oil (21, 13, 4)
- This tells us this market is FLAT and FLAT in all timeframes

1100am est

- We have the end of the week coming up quickly
- After 11am est on Friday’s we know the markets are getting very thin
- We have crude oil stuck inside a narrow wedge and trading around the BMT on the 4range, this is a red flag
- We have ATR falling now after 11am on crude oil
- 13r momentum on crude oil always confirms lack of direction, it is very choppy
- Gold made new all-time highs and we bought pullbacks on the way up
- Now we see the speed and momentum tell us to look for a price reversal off these highs
- Speed is so slow, that it makes trading now very difficult.
- We need to wait for the crude oil to test the HOD or down to 112.23 to buy the lows
- We need gold to drop off these highs for the next trade short below 1542.9

Daily Review:

- I want to review how the day worked
- Did my daily prep have any value?
- Did I follow my rules?
- Did I take trades where I should have?
- How can I use this info to improve in the future?

Gold:

- We were looking to buy pullbacks with the bullish price channel and we did that with success
- The dollar dropped and the Gold made new highs, which got us trading
- Sideways range PHOD was BELOW us, which also signaled buyers strength

Crude Oil:

We saw sideways range and a wedge at the open of crude this morning.
We sold the highs of the range for 2 winners, and the only loss today was the only trade that went against our plan of attack.

Click Here To Review Our Automated Trading Results From This Morning

Automated Trading Strategies and Software Review

It’s about that time of the week, let’s review the automated trading system results for the week as well as our long term results.


Its no surprise this was a tough week for ALL the markets, no matter what you were trading, but lets not forget the big picture…long term results.

There were no trades this week on the e-mini Russell, so nothing to report from last week.

Crude Oil Futures

We took 7 trades this week on crude oil, and as you can see we certainly had a rough week. Most markets got chopped up this week, and this is what happens sometimes.

Lets not forget our goals…$1500/mo/contract…so lets look at our long term results.

As you can see, our results are still amazing. Earning an average of $4306 per month per contract.

We took a bunch of losses this week, but we are still way ahead of the game. Our stops are so tight, and our targets so wide.

I can EASILY deal with this every few months, we earn so much in the good times, the bad times just don’t make that much of a dent in our profits.

Very exciting to see our auto trader hold up so well in such tough markets!

Gold Futures

Gold took 7 trades this week, and much of the same as Crude Oil, lots of losses. We hate to see losses, but at the same time we understand this will happen sometimes.

The key is….look at the long term results this auto trader achieves through some of the hardest times of the year.

Gold earned $9180 over the past 3 months, an average of $3,060 per month per contract. My goal with this auto trader is $1500/mo/contract.

So we took a WEEK of losses and STILL earned our averages. Love it. This is the hardest time of year BY FAR, so this is VERY EXCITING.

Euro Futures

The Euro Futures took 6 trades this week, and again, many losing trades. This is ok, losses are going to happen, but we look for the long term results to be concerned with.

The Euro has been the worst performer over the past 90 days. We earned $3125 over the past 90 days, with a monthly average of $1,041 per month per contract, which is slightly below average.

Good news, this is the worst/hardest time of the year to trade, and its over. May is right around the corner and we expect these ratios to even off.

We will also be adding some new filters on the Euro, we are in the process of testing those as I write this.

As always, our auto trader makes money in any market you chose, it can be used any way you wish, and we will do more training on this next week with our members.


As Always We Love Your Feedback

Trade The News Market Internals Update

**Looking Ahead***
- (CO) Colombia Central Bank Interest rate Decision: Expected to raise the Overnight Lending Rate by 25bps to 3.75%
- (MX) Mexico Mar YTD Budget Balance: No est v €11.3B prior
- 11:00 (US) Fed to purchase $5-7B in Notes/Bonds
- 12:00 (CO) Colombia Mar Urban Unemployment Rate: 12.3%e v 13.2% prior
- 12:30 (US) Fed Chairman Bernanke speaks at Fed Community-Affairs
- 15:00 (AR) Argentina Mar Construction Activity M/M: No est v 1.3% prior; Y/Y: No est v 13.4% prior

10:30 AM Market Internals update at 10:30ET

- NYSE volume 170M shares, about 22% below its three-month average; advancers lead decliners by 1.1:1.
- NASDAQ volume 480M shares, about 3% above its three-month average; decliners lead advancers by 1.1:1.
- VIX index +0.25% at just over 14.00

5:54 AM TradeTheNews.com European Market Update: EU inflation accelerates in April; Spanish Unemployment at highest level since 1997


***Economic Data***

- (RU) Russia Central Bank raises Refinancing Rate by 25bps to 8.25%; Not expected
- (RU) Russia Narrow Money Supply (RUB): 5.87T v 5.82T prior
- (FI) Finland Feb Final Trade Balance: -€13M v -€10M prelim
- (GE) Germany Mar Retail Sales M/M: -2.1% v +0.2%e ; Y/Y: -3.5% v 1.4%e
- (SA) South Africa Mar Private Sector Credit Y/Y: 5.1% v 5.9%e; M3 Money Supply Y/Y: 6.5% v 7.8%e
- (FR) France Mar Producer Prices M/M: 0.9% v 0.7%e; Y/Y: 6.6% v 6.4%e
- (SP) Spain Apr Preliminary Consumer Price Index Y/Y: 3.8% v 3.6% prior; CPI EU Harmonized Y/Y: 3.5% v 3.4%e
- (SP) Spain Mar Adjusted Real Retail Sales Y/Y: -8.6% v -4.9%e; Real Retail Sales Y/Y: -7.9% v -4.8% prior
- (SP) Spain Q1 Unemployment Rate: 21.3% v 20.7%e
- (HU) Hungary Mar Producer Prices M/M: 0.0% v 0.2% prior; Y/Y: 6.6% v 7.1%e
- (NO) Norway Apr Unemployment Rate: 2.8% v 2.8%e
- (TU) Turkey Mar Trade Balance: -$9.8 v -$7.8Be
- (TH) Thailand Mar Business Sentiment: 54.1 v 52.3 prior
- (TH) Thailand Mar Current Account: $1.9B v $2.8Be; Total Trade Account Balance: $1.9B v $2.0B prior; Overall Trade Balance: $1.4B v $4.3B prior
- (SW) Sweden Mar Household Lending Y/Y: 7.3% v 7.5% prior
- (SW) Sweden Mar Retail Sales M/M: -0.8% v +0.2%e; Y/Y: 0.7% v 2.8%e
- (SW) Sweden Feb Non-Manual Workers Wages Y/Y: 1.5% v 1.6% prior
- (CZ) Czech Money Supply Y/Y:2.5 % v 2.8% prior
- (EU) Euro Zone Mar M3 Money Supply Y/Y: 2.3% v 2.2%e; M3 Money Supply 3 month avg: 2.0% v 1.9%e
- (IT) Italy Mar Preliminary Unemployment Rate: 8.3% v 8.4%e
- (TT) Taiwan Q1 Preliminary GDP Y/Y: 6.2% v 5.0%e
- (SP) Spain Feb Current Account: -€5.4B v -€6.6B prior
- (HK) Hong Kong Mar M2 Money Supply Y/Y: 7.2% v 8.0% prior
- (EU) Euro-Zone Apr CPI Estimate Y/Y: 2.8% v 2.7%e
- (EU) Euro Zone Apr Business Climate: 1.28v 1.40e; Consumer Confidence: -11.6 v -11.4e; Economic Confidence: 106.2 v 107.0e; Industry Confidence: 5.8 v 6.6e; Services Confidence: 10.4 v 10.5e
- (EU) Euro Zone Mar Unemployment Rate: 9.9% v 9.9%e
- (IT) Italy Apr Preliminary CPI (NIC incl. tobacco) M/M: 0.5% v 0.3%e; Y/Y: 2.6% v 2.4%e
- (IT) Italy Apr Preliminary CPI EU Harmonized M/M: 1.1% v 0.7%e; Y/Y: 3.0% v 2.6%e (highest since Oct 2008)
- (PO) Portugal Apr Consumer Confidence: -49.5v -48.4 prior; Economic Climate: -1.8 v -1.4 prior
- (HK) Hong Kong Mar Govt Mthly Budget Balance (HKD): -9.1B v -9.5B prior
- (GR) Greece Feb Retail Sales Y/Y: -7.0% v -13.7%e
- (SZ) Swiss Apr KOF Swiss Leading Indicator: 2.90v 2.20e

This information was brought to you courtesy of TradetheNews.com, for your free trial Click Here

Day Trading Morning Prep Gold, Crude Oil, Dollar Index, Euro, E-mini Russell Futures

‘We are what we repeatedly do.  Excellence, therefore, is not an act, but a habit’ - Aristotle

Live Trade Room is open, come join us!

Click here for helping logging into the Trade Room

Let’s begin our morning routine with the economic news for today’s trading session.

Options Expiration Friday (OPEX)
8:20 Gold & Currencies OPEN

8:30 Personal Income & Outlays

8:30 Employment Cost Index

9:00 Crude Oil OPEN

9:30 US Market OPEN

9:45 Chicago PMI

9:55 Consumer Sentiment

10:30 E-mini Reversal

11:00 Transition into Lunch

11:30 European Close / Live Webinar in our Trade Room

12:30 Ben 'The' Bernanke Speaks

Reviewing the news this morning we know that today is officially options expriration friday, which means today will be the final chance for traders to manage portfolios ahead of tomorrow's expiration.

With 830 news this morning we expect to see early volume, tapering off early for Bernanke's Speach at 1230 today.

We have been apparently waiting for this speach all week, volume has been low, so hopefully this will get people back in the markets for Monday.

As always, I’m watching the speed or the orders coming into the market along with  average true range (ATR) to find the best times to trade the markets today.

 

My trading method will work on ANY liquid market, but here is what im focused on day trading today:

Crude Oil Futures



89Range Crude Oil



I begin with an 89 range chart on Crude Oil and you can see we have 2 sideways trading ranges and a very distinct price channel.

I will now use a faster timeframe to find the exact price levels around these areas.

Open your 34 range chart on crude oil futures and you can see a lot of detail we can use to plan our trades this morning.

34 Range Crude Oil

Looking at this 34 range chart you can see the sideways trading range marked in the white box, and you can see the bullish price channel in pink trend lines.  Lets use these main price formations as our guide today.

If price rises im selling the PHOD and the Highs of the Price Channel.  If price falls im buying the lows of the price channel and the lows of the sideways range in the white box.

I will also be keeping an eye on the PHOD and PLOD, as we are trading INSIDE the range from Thursday, which means we will sell the PHOD and buy the PLOD.

Remember not to buy the highs or sell the lows.  Buy pullbacks and sell retracements instead for better entries.

We Love Your Feedback!  Read and Post it here J

Live Trade Room is open, come join us!

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While the Cat’s away the Mice will Play

820am est


Lets review the 89range chart on Gold Futures:

- Bullish Price Channel, we are at the highs
- Sideways Range in the white box below us
- Another range inside this trading range, also defined in the white box

Now that we know the best areas, we now use the 34range to zoom in and find the best price levels.

We now use the 34range chart to see the following:

- Strong Bullish Price channel in blue trend lines
- Sideways Range below us in the white box
- Price Wedge inside this range below us in the orange trend lines
- We are at the highs of the larger price channel off the 89range chart

With this information we can plan our attack on gold:

If prices rises:

- Im selling resistance as prices rise
- If prices continue to make new highs I will then buy a pullback
- I will not buy the highs, I will wait for a pullback
- Selling 1534.0, 1535.1, and then selling the highs of the channels above us

If prices drop:

- Im buying support on the way down
- If we keep getting new lower lows I will sell retracements, never selling the lows
- Im buying support at 1529.0, 1526.4, 23.9, 19.2 is major support

Gold is trading at the highs right now, so we expect to see the market drop off the highs, but we simply cant predict.

We see the PHOD and PLOD are below us, which is a bearish sign. We also have the Big Money Trigger Line, a price magnet, below us as well.

All signs point to selling off, but we need to make sure we get the pattern first.

850am est

- We see the news @ 830 comes out and the markets don’t move much
- Now we go through our morning routine and we look at the dollar
- The DX 06-11 contract dropped last night after the FOMC announcement left rates unchanged.
- Now the dollar has been rising off these new lows
- The 34range on the Dollar shows us a wave pattern SHORT.
- Negative correlation on the dollar says this would be a great time for a wave long on the markets we trade.
- 34range on the dollar says that swing traders need to stay long, dollar is falling in the long term
- 34range is a little slow for day traders, lets use a faster timeframe for day traders
- Our 13range chart shows a rising dollar, so we will look for selling opportunities until this changes
- How does this help us make money? We know the dollar is trying to rise, so selling at resistance levels will be considered the highest percentage trades.

930am est

- Its very clear the market personality on crude oil is not something we can avoid
- Very sloppy and lack of conviction on where it wants to go next.
- We have all the trigger lines are flat
- We are trading in the middle of the rang
- We are trading around the BMT’s
- All these red flags tell us….lets be patient.

1010am est

- We’re still seeing very tough price action, so lets plan our attack at the best possible locations today
- If prices Fall im buying the next major support at 112.63
- If prices rises im selling resistance at 113.56
- We will avoid trading around the big round numbers with this poor price action

1045am est

- We see gold and crude continue to lack direction and speed
- We plan our attack on gold
- If prices rises we look to sell the highs of the price channels
- We don’t have any levels above us b/c this is the highest level we’ve seen
- If price falls im buying support at the PHOD and the 34r trigger line around 1530.8

Trade the News Market Internals Update