Opening Play for Friday 11/7

November 06, 2014

11-6-2014 9-56-07 PM

Good Morning Traders!

No signs of a top….numerous shares continue to make all time highs…..indexes on extended runs.  Look at the nice chart formation the Russell has on the chart above.  Won’t take much to push this to new highs, so this will be the market to keep an eye on.   NFP…….ECB day was relatively tame…this happened once before and the day after, all craziness broke loose.

Bonds are still managing to hang into a trading range……..If there is a downside breakout tomorrow,  139 is the first level to look for.  The chart above shows the weekly 30 year yield chart which has been in a downtrend for 11 months. There is a double bottom on the weekly oscillator, so the path of least resistance for rates is up.

The Dollar chart is going to stay up on our opening play charts because this is a rare occurrence that there is a such an outstanding chart formation with base et all, on a monthly time frame.  Intraday reactions up in the currencies are unlikely to get very far.

Copper – technically a three bar breakout formation…if upside breakout, the daily chart will confirm an inverted head and shoulders formation.

Wheat…test towards previous 510’4 swing low (or higher low) sets up Buy Day.  Beans remain the relative strength leader of the grains.

Nat Gas superstar:   testing  bottom of prior trading range from first half of the year.   There is enough upside momentum where this market can trade back to the middle of this range.  However, any morning  rally above Thursday’s high can set up a short scalp.  Never short afternoon strength in an uptrending market and never buy afternoon weakness in a downtrending market.

Have a great day and a fabulous weekend!

Linda

 

Tradesheet from Snagit

Markets in BO Mode:

BOs from snagit