Call me crazy but I’m bullish the the S&P futures crude oil futures and the ETF SPY.
Lets discuss this in the most generic form, I’m bearish the ES in the midst of this rally that appears to never end. If you understand the market auction process then you understand why at the most fundamental aspect of trend you know we can’t chase this market to levels unforeseen before.
1. trend 2. stopping 3. consolidation 4. retrace back to the area of which trend started or back to step 1. trend.
I believe this market will have to trade in areas in which buyers and sellers are comfortable. If my crazy theory is accurate the market will pullback in a very micro short term time frame. In order for this to happen the bears must control the trend and trade below 3003.75 down to 2998.75. If the bears can maintain this control expect another support level to be test 2997.25 down to 2990.25. If 2990.25 is broken look for 2985.25 to be next.
For the record I’m also moderately short term bearish SPY out until September. Please don’t try to put this trade on now to follow me as I’m already in this position. If this position can capture 30% within 24 hours I’ll take it of ASAP.
No trader ever goes broke putting money in his pocket.
Let’s talk about oil I told traders for the past few days oil needed to trade below 59.32 in order to see the momentum to the downside have an extension. I expect the bears to attempt try to control trend until we get to 57.84. Let’s see if I’m right?
If you want more details on entries ? CLICK HERE
Also if you’re interested in seeing how I’m trading some of my equity LEVI and the RUT