Trade Aptitude

Results of Thursday’s Best S&P Futures Turning Points: Shorting 4445.00 stopped out but the breakout ran for 27 points to the next volume level, then reversed for +8.50 points at the close. 

Today’s Best S&P Futures Turning Points (consider wider stops and less size in fast moving markets): 

Buy 4439.75 stop 4434.25. Short 4504.50 stop 4509.25

The World Sentiment Index: (+100/-100) jumps from +7 to +50 with all major world markets Bullish.   

Catalysts: Fed’s Barkin @ 9:00. UM Consumer Sentiment @ 10:00. 

Quick Tip: Breakouts

Yesterday’s action reminds me to make sure you’re clear on how to trade the levels presented in this newsletter. 

They can be reversals and breakouts. Obviously, the breakout occurs after a reversal attempt. The reversal might stop out like yesterday, but it could also be a winner that turned later to penetrate the level and signal a breakout. In strong trends you’re better off ignoring the reversals and focusing on breakouts to join the trend. 

While there are always two levels suggested here there are many more available to our trading team. The 4080 level on the chart above is an example. Also, we have alternative strategies for varying market conditions. Click here to watch my recent training session. 

Trade Fearlessly,

Mike Siewruk

P.S. It's our 3-year anniversary this month and we're celebrating by offering qualified new members a fabulous gift! Watch the replay of Wednesday's FOMC Live Trading for details on all the trading software and services you can have at a small fraction of the normal price. Click here.