Markets continue to trade inside ranges this week, which means my plan is to fade the breakouts using the perfect 1-2 combination for entries and exits on Thursday.
--------------------
Learn the Patterns with My Free Trading Course:
http://www.schooloftrade.com/trial
-----------------------------------------
Crude Oil is bullish and trying to complete it’s measured-move going higher, but the top of this range isn’t the best place to be buying, which prompts me to wait for a 2-try failure from the sellers before getting long.
Knowing this, I'm also looking for buying opportunities off the low of the range, and with the bearish momentum I'm going to use a “nested” variation of that same entry pattern.
E-Mini S&P is bearish into a range, but the most important clue is where we are – just a few points away from re-testing Monday’s low, which is consider major support for the sellers.
Knowing this, the goal is to sell above the range high using buyer-failure patterns.
But I'm also keeping my eyes open for the sellers getting in trouble trying to go lower, because I see a big opportunity for a short-covering rally if I can find the right entry into their stops to send price racing higher.
Nasdaq is bearish into a trading-range, which tells me to look for selling-opportunities up above the highs, which is also right near the high of a Hidden Channel.
Its also important to remember, unlike the E-Mini S&P, the Nasdaq has more room to go lower, which means I will keep my eyes open for selling-opportunities using buyer-failures as price rolls lower.
Gold is range-bound with no directional bias this evening, which means the plan is to buy the low, sell the high, avoid the middle, and fade the breakouts on Thursday morning.
Euro is bearish into a sideways range this evening, which tells me to look for selling-opportunities up above the highs using buyer-failures.
Knowing this, I can also see an interesting clue on the chart – the strong move higher, which tells me to..
