Good Morning traders!
The day started out with an upside breakout in the DAX. The SPs never traded below the first 5 minute bar and closed at the upper end of their range. More importantly, the Nazdaq closed at new 20-day hgihs with an upside breakout from a long chart formation. The above chart shows the Russell. It closed with a three bar triangle breakout pattern. Watch to see if it can take out the previous swing high marked off….If so, the market can stage a healthy pre holiday rally. The chart beneath the Russell is the short term Summation Tick. Tuesday’s selloff pushed it just shy of oversold readings. It still has some upside bullets before it is overbought.
The stars of the day were beans and Crude. Though both can have some consolidation, any morning dip is still a buy.
AUGUST COWS: Excellent Pinball Buy and 2-period ROC Buy Day.
Bonds traded back down into their breakout range. last week may have been a giant Buying climax/short squeeze. The commercials seem to think so….
Have a great trading day!