Thursday Sep 11 – Opening Play

September 10, 2014

 

9-10-2014 10-50-13 PM

 

Good Morning Traders!

Index Roll day – everyone’s favorite….TradeStation  charts will hopefully adjust mid  morning to the continuation format, and most traders continue to trade the Sep contract on Roll day since the liquidity is fine.

SPs tested below the PD low as well as the previous 20 day high of 1185.75, and  held.   The oversold Summation tick is only  half  way  back up and so can continue higher.  This would be analogous to the Russell making a  better retest up on the 120 minute charts (see chart above for structure.  However, after a large standard deviation  move such as we had on the last daily upswing, consolidation period can unfold in the form of “railroad tracks”.  A term Nigel gave for the one day up  one day down , one day up pattern you can see on the daily candlestick charts. Yesterday was the one day up…..

Mid Morning there is a crop report.  Wheat has been trending lower since the downside breakout from the previous consolidation  A measured move down is possible, or a reaction up to retest the breakdown point. Gold and Silver traded sideways on what should have been a nice buy day, but now are in “breakout mode”….

Look for a bit of early two way trading in the index futures –  both Russel and Dax can still have upside follow through.

Bonds now have seven closes below the daily 5 SMA.  Currencies are in consolidation  mode after large standard deviation move on the daily charts and in front of Scotland’s vote.

Mick will be out on Thursday butt we can still rock N roll!

Linda

9-10-2014 3-21-18 PM