Watch These Levels Tomorrow. Look for Traps!

Thursday is shaping-up to be a very busy day in the markets…

We have two major news catalysts to watch, I’d love to short the highs on the Eminis, Crude Oil failed to complete the pendulum swing, and Gold has a measured-move “overshoot” that tells us exactly where to find the best entry. Are you ready? Let’s go…

E-Mini Keys to Success:

• Started as a range, then breakout to retest all-time highs
• Strong bull move says expect buyers to retest the high
• 123-Reversal off the high gives seller’s momentum
• Looking for buyers to fail off the highs for a short back down again
• Will be difficult to “thread the needle” getting in long

Best Setups for Tomorrow:

• (UP) – buyer failure off channel high (or) 123-breakout
• (DOWN) – 2-try trap (or) 123-breakdown
• (SIDEWAYS) – buyer failure above the range

Crude Oil Keys to Success:

• Bullish into a trading-range
• Failed Rotation is very bullish
• Buy Low, Sell High, focus on failures

Best Setups for Tomorrow:

• (UP) – Nested buyer failure (or) 123-breakout
• (DOWN) – 2-try trap (or) 123-Reversal (or) nested seller failure
• (SIDEWAYS) – buy low, sell high with failures

Gold Keys to Success:

• Strong bear move lower says expect a retest of the low
• Measured-move overshoot says traps are best entry
• Range overhead is magnet, sell with nested failures

Best Setups for Tomorrow:

• (UP) – nested buyer failure (or) 123-Reversal
• (DOWN) – nested w/ trap (or) 2-try trap (or) 123-breakout lower
• (SIDEWAYS) – buyer failure above range