December 2, 2011

Non Farm Payroll day trading strategies

We begin our day today with the US Dollar Index, which is sitting in its trigger zone on the 89range, this tells us the price can go higher or lower from here.

The Crude Oil 34range chart shows us this easy range to sell the highs.

The Dollar Index 13range chart shows us the bear channel, which gives us the directional bias for the short term, remember this direction can change quickly, so we will keep an eye on this short term trend.

Crude Oil 89range chart shows us the price wedge, the inside day / outside day transition, lots of resistance overhead, and major support below us.  If price rises im selling at resistance, and if price falls im buying at support.

The Euro currency futures are trading at the highs of the range this morning, begging us to sell the highs.  If price rises im selling at the highs of the wedge and the resistance above the highs.  If price falls im buying the wedge lows and buying at support.

Crude Oil 21-range chart shows us the trigger zones, which are key to knowing where price is headed, and we use them as targets.

Russell Futures 89range is our slowest timeframe and shows us the BIG PICTURE so we can plan our trading strategy this morning.  We see a bear channel, price wedge, and at the highs of the range from Thursday at the PHOD.  Sell if price rises, sell retracements as price falls, and try avoid trading in the middle of the wedge.

The Russell 34 range chart shows us more of the areas where we need to trade, and then we will use a faster timeframe to look for the patterns for entry triggers.

    schooloftrade

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