Wednesday, November 10, 2010

CRUDE OIL Futures - REACHING


- Technically the MKT has produced a positive signal into the upper extreme and will need to hold structure if it is going to avoid a drop back into a digestive trade. 89.50 and 89.92 are the immediate targets that have the potential to derail the current strength with the 86.07 Inflection Pivot the low point for any negative turn of events.

JS



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Monday, November 8, 2010

SOYBEAN Futures - SET FOR SIDEWAYS


Technically the MKT is in a NEUTRAL DIGESTIVE position with a negative bias below 1283-0 down to the 1268-0 Inflection Pivot. This is the session boundaries if the digestive trade is going to play out. A held violation of this range will spark some interest, especially on a failure from 1268-0.


On the SELL side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. SELL BREAKOUT strategies should just "go" and not look back, so keep risk parameters tight. FADE strategies after a negative breakdown signal are good opportunities as well but expectation should be for the MKT to quickly move back under the failed support. If the trade just "hangs around" is more likely a signal that more digestive action is coming and a retest of resistance should be expected. Be more aggressive with FADE and REVERSAL strategies at or against the previous session high point targeting the opposing digestive support. Above the previous session high point entering after the 2nd or 3rd press into an area is recommended over stepping in front of the initial challenge.

On the BUY side BREAKOUT strategies are aggressive and should be entered sooner [lower] than later [higher]. Expectations should be for the MKT to make its move early in the session and not look back, holding structure most of the day. If the MKT digests prior to making a positive move it is more likely a short squeeze to FADE. BUY FADE strategies are aggressive and if they are going to work should do so on the initial test of support. Repeated tests or "confirmation" are more likely to give way to a lower trade. BUY REVERSAL strategies are recommended off the session initial major support only, as the MKT is vulnerable to a negative trend shift. The probability is to the downside today so don't get stubborn buying breaks.

Note: The MKT is in neutral so "sloppy" conditions with "false signals" should be anticipated. Have a plan for any squeeze. Don't get stubborn however if the MKT starts to hold structure and gets into trend mode as the contract may just be expanding its digestive parameters producing a one way trade into the close and new extreme.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Monday, November 1, 2010

Eurex BUND Futures - TURNING POINT


Technically the MKT is in NEUTRAL TRANSITION and has produced a positive signal which should influence the MKT today if the signal is valid. If the integrity of the prior session's high remains intact it is less likely to do so with the MKT returning to a sideways trade. Roll with any new strength and leverage up if good risk parameters present themselves. The potential to get in at the beginning of a new move higher is real.

Key off the 12948 support and 12913 Inflection Pivot. If the MKT is going to rotate higher it will do so from either of these levels. A breach of 13018 confirms this outlook. A break under 12913 puts the contract back in a vulnerable position.


On the SELL side REVERSAL strategies can be executed off of major resistance levels at or near the previous session high point. Avoid this strategy on higher levels as any new strength has the potential to be the beginning of a move. If the integrity of the previous session high remains intact FADE strategies can be accepted at or near this level on the initial test with tight profit target objectives. If the MKT has already had a reaction off this resistance area avoid this strategy. Use a BREAKOUT strategy below 1082.25 as a signal to FADE a positive pull-back after a confirm break in the momentum. Only take this trade if the previous session high point remains intact. Otherwise this will be a BUY REVERSAL opportunity.

On the BUY side be more aggressive after the previous session high has been taken out. Not that this is a pre-condition but should be noted as a confirmation of strength. BREAKOUT strategies above 1091 and 1098.50 should just "go" so keep risk parameters tight. FADE into any negative reaction off an unsuccessful upside BREAKOUT after a support level is confirmed. Use a REVERSAL strategy to leverage up after the MKT gets back above the original breakout point. If the integrity of the previous session high remains intact, avoid REVERSAL strategies as any break momentum is a negative signal that the MKT is going to return to its neutral posture. FADE strategies off the 1082.25 Inflection Pivot are recommended early in the session or near the end. The positive signal will either play out from the get go or will make its move in the latter stages of the trading session.

Note: This is a dangerous emotional trading environment. Expect MKT reactions to go a little further that you expect in either direction so anticipate this in your position and risk management.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Thursday, October 28, 2010

NIKKEI 225 INDEX Futures - RISING SUNSETS


Technically the MKT is in a BEAR TREND ACCELERATION position and is vulnerable to the offer. Any positive corrective action is expected to be short lived with only one upside "stop squeeze" if the negative momentum is going to play out. Any held strength and repeated probe higher is a sign that the trade will turn digestive. This does not take away from the negative bias but does limit the profit potential for any new sales in the session.


The 9500 Inflection Pivot is the high point for any positive squeeze. All trading below here keeps the contract on edge. A break under 9125 confirms fresh losses targeting 8875 on any new losses. A breach of 9375 signals a digestive trade up to 9500. Only above here is the negative sentiment removed.
On the SELL side accept FADE, REVERSAL and BREAKOUT strategies below the previous sessions high point. BREAKOUT strategies should just "go", so do not risk much. FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold lower structure and any momentum shift should be considered a potential positive corrective turn.

On the BUY side avoid REVERSAL strategies off major support levels as these signals are more likely short squeeze rallies and opportunities to SELL into and FADE. BREAKOUT strategies above the previous session high are a long shot, so risk less and go for more. Any BUY FADE should have confirmation and are not recommended if the integrity of the previous session high is intact. After a break in the negative structure confirmed support levels can be used for short term reactions using aggressive position management.

Note: The MKT is in an aggressive sell posture. If the previous session high is intact its just a matter of time before the sellers try to overwhelm the MKT. Look for excuses to get short. If the previous session high is breached opportunity will be on both sides of the MKT, however the bias still rests with the Bears.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Wednesday, October 27, 2010

FTSE100 Futures - BLOODY HELL


Technically the MKT is in a NEUTRAL CORRECTIVE state producing a negative signal against a positive trend. Opportunity exists on both sides of the MKT however the threat of further losses will weigh on the Index below the 5671.0 Inflection Pivot. A break under 5597.0 confirms fresh losses targeting 5523.0 on any downside follow through. 5467.5 is the session extreme. A rise above 5671.0 turns the trade digestive.


On the SELL side avoid FADE strategies until after the previous session low point or major support level has been broken to confirm a negative shift in momentum. Until then a better opportunity will be a REVERSAL strategy but only off the 1st major resistance level. This is a one shot trade using a low risk big profit target criteria. The idea is that if the MKT is going to follow through on its negative signal any strength is just a "head fake " before it follows through. SELL BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE long at support targets. The trade is corrective and the underlying positive tone must be respected.

On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the positive momentum is going to resume. REVERSAL strategies are recommended over a FADE strategies, which should have at least 1 if not 2 challenges to the support integrity before executing a long off it. BREAKOUT strategies can risk a little more if current events and other MKTs of confluence confirm a positive posture with the expectation that the Bull Trend is going to resume. If not a better approach would be to FADE a negative "squeeze" reaction after a positive breakout signal as the neutral technical position can keep the trend sideways.

Note: The MKT is in a corrective position with the potential to move in either direction. Keep your opinions to themselves and focus on what the MKT is telling you it wants to do. Don't fight it, roll with it.
 
JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Tuesday, October 26, 2010

GOLD Z'10 Futures- LOST LUSTER


Technically the MKT is in NEUTRAL TRANSITION and difficult trading conditions are expected. The MKT has produced an aggressive sell signal which should weigh on the MKT today if the signal is valid. If the integrity of the prior session's low remains intact a return to a sideways trend less trade is likely. Roll with any new weakness and leverage up if good risk parameters present themselves. The potential to get in at the beginning of a new move lower is real.


The 1349.6 Inflection Pivot holds the key to today's action. Below here the negative signal remains in play targeting 1307.3 and 1276.2 on any negative turn of events. A rise above 1349.6 is a sign of strength that has the contract flirtng with a play for higher move highs targeting 1375.6 and 1406.4.
On the SELL side be more aggressive after the previous session low is taken out. Not that this is a pre-condition but should be noted as a confirmation of weakness. BREAKOUT strategies should just "go" so keep risk parameters tight. FADE into any positive reaction off an unsuccessful downside BREAKOUT after a resistance level is confirmed. Use a REVERSAL strategy to leverage up back under the original failure point. If the integrity of the previous session low remains intact, avoid REVERSAL strategies as expectations are that the "negative" signal is going to follow through it should do so straight away and any break in the negative momentum is a positive signal that the MKT is going to return to its neutral posture. FADE strategies are recommended early in the session or near the end. The negative signal will either play out from the get go or will weigh on the MKT in the latter stages of the trading session.

On the BUY side REVERSAL strategies can be executed off of major support levels at or near the previous session low point. Avoid this strategy on lower levels as any new weakness has the potential to be the beginning of a move. If the integrity of the previous session low remains intact FADE strategies can be accepted at or near this inflection point on the initial test with tight profit target objectives. If the MKT has already had a reaction off this support area avoid this strategy. Use BREAKOUT strategies as a signal to FADE a negative pull-back after a confirm break in the negative momentum. Only take this trade if the previous session low point remains intact. Otherwise this will be a SELL REVERSAL opportunity.

Note: This is a dangerous emotional trading environment. You should expect the MKT reactions to go a little further that you expect in either direction so anticipate this in your position and risk management.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Thursday, October 21, 2010

GOLD Futures Z'10 - TIME TO TIGHTEN THE COLLAR


Technically the MKT is in a BEAR TREND ACCELERATION and flirting with the lower extreme. The MKT has produced a big negative signal and any positive corrective action is expected to be short lived with only one upside "stop sweep" if the negative moemtnum is going to play out. Any held strength and repeated probe higher is a sign that the trade will turn digestive. This does not take away from the negative bias but does limit the profit potential for any new sales in the session.

Key off the 1332.5 resistance and the 1347.4 Inflection Pivot. Either price level has the potential to be the high point for any positive reaction if the negative signal is going to play out. Only above 1347.4 is the contract out of harms way. A break under 1312.7 confirms fresh losses.


On the SELL side accept FADE, REVERSAL and BREAKOUT strategies below the previous sessions high point. BREAKOUT may need to be "worked" as the MKT is on edge and will be emotional, producing some starts and stops before it drops. FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold lower structure and any momentum shift should be considered a potential positive corrective turn.

On the BUY side avoid REVERSAL strategies off major support levels as these signals are more likely short squeeze rallies and opportunities to SELL into and FADE. BREAKOUT strategies above the previous session high are a long shot, so risk less and go for more. Any BUY FADE should have confirmation and are not recommended if the integrity of the previous session high is intact. After a break in the negative structure confirmed support levels can be used for short term reactions using aggressive position management.

Note: The MKT is on edge and is vulnerable to a big drop. If the previous session high is intact its just a matter of time before the sellers try to overwhelm the MKT. Look for excuses to get short. If the previous session high is breached opportunity will be on both sides of the MKT, however the bias still rests with the Bears.
 
JS

* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Tuesday, October 19, 2010

BRITISH POUND FUTURES - SET TO SWING


Technically the MKT is at a NEUTRAL NEGATIVE EXTREME and is ready to either pop back into a firm neutral posture or break into a new down trend. The MKT has produced a technical sell signal into support and is in a "Make or Break" scenario. Volatility as well is on the fence and ready to rise with a new trend move and decline with some sideways "positioning".

Key off the 15853 Inflection Pivot for an indication of the session bias. Below here the negative sentiment hangs over the contract pressing support at 15667. A held trade below here is needed to keep the currency on edge.


On the SELL side accept FADE and BREAKOUT strategies expecting an immediate follow through to the MKT's technical sell signal. BREAKOUT strategies should be worked with the expectation that any sustained trade and repeated tests of support will give way to negative follow through. This strategy is vulnerable to the MKT expanding its lower support band in a series of starts and stops. Keep profit targets extended to pay for any monies spent holding a position. FADE strategies should expect an immediate reaction as any held trade or violation of major resistance foreshadows a potential turning point. These are good opportunities to "roll" into a long position when stopped out.

On the BUY side FADE and REVERSAL strategies off major support base are qualified however the FADE is a lower probability and should use tight risk criteria. REVERSALs can risk more but should also go for more profit with the expectation of a turning point "key reversal" signal to play out. BREAKOUT strategies are aggressive and should just "go" and not look back. Risk less and go for more. A laborious lack-luster rise after a positive breakout is a sign that the MKT is more likely expanding its resistance lid for a new consolidation verses transition from negative to positive technical posture.

Note: The MKT has produced a negative signal but it is not confirmed and trending indicators do not support follow through in either direction at this time. The MKT has the potential for big range conditions so don't get stuck FADing momentum in either direction.
 
JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Wednesday, October 13, 2010

Eurex EUROStoxx Futures- DIZZY



Technically the MKT has produced a major positive signal into the upper extreme and will need to hold structure if it is going to avoid a drop back into a digestive trade. Key off the 2741.0 Inflection Pivot for an indication of the session tone. If the MKT is going to hold structure it will maintain a trade above here. If not the contract is vulnerable to a retreat down to 2695.0, if not 2603. Notable resistance at 2787.0 will gauge any new strength.

On the SELL side UP FADE signals are valid but REVERSAL strategies are a better option. Have resting limit orders off support inflections and use aggressive position management to lock in any unrealized gains on any REVERSAL trade. DIR and DP BREAKOUT strategies are aggressive but do have the potential to profit from a quick negative move out of the extreme. Use tight position management for these strategies as any unrealized profits can be erased quickly by the underlying positive momentum.

On the BUY side accept DP FADE signals after confirmation. The MKT is extended and may search for stops before it resumes its Bull move. REVERSAL strategies are a better option. The sharper the break, the better for an entry with the expectations that the MKT is going to revisit the recent move high. BUY DIR and UP BREAKOUT strategies may need to be "worked" as the MKT is extended and has the potential to produce some starts and stops.
 
JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Tuesday, October 12, 2010

US 30YR T-BOND Futures - CORRECTIVE


Technically the MKT has produced a big negative signal against a positive trend which will weigh on the MKT with all trading below the 134-04 Inflection Pivot..  Only a rise above here puts the contract back in a solid state.


On the SELL side avoid FADE strategies until after the previous session low point or major support level has been broken to confirm a negative shift in momentum. REVERSAL strategies should be avoided as any positive signal is more likely an indication that the underlying trend is going to resume. SELL BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE long at support targets.

On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the positive momentum is going to resume. REVERSAL strategies are recommended over a FADE strategies, which should have at least 1 if not 2 challenges to the support integrity. BREAKOUT strategies can risk a little more if current events confirm a positive posture. If not a better approach would be to FADE a negative "squeeze" reaction after a positive breakout signal as the neutral technical position can keep the trend sideways.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Thursday, October 7, 2010

SWISS FRANC Futures - EASTERN ALLY


Technically the MKT is in a NEUTRAL CORRECTIVE state producing a negative signal against a positive trend. Opportunity exists on both sides of the MKT however a held trade above the 10372 Inflection Pivot is needed to put this market back on the bright side. A held trade below this price point keeps the corrective signal in play and a failure from 10319 confirms fresh losses targeting 10213 on any new weakness. 10001 is the extended target.


On the SELL side avoid FADE strategies until after the previous session low point or major support level has been broken to confirm a negative shift in momentum. Until then a better opportunity will be a REVERSAL strategy but only off the 1st major resistance level. This is a one shot trade using a low risk big profit target criteria. The idea is that if the MKT is going to follow through on its negative signal any strength is just a "head fake " before it follows through. SELL BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE long at support targets. The trade is corrective and the underlying positive tone must be respected.

On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the positive momentum is going to resume. REVERSAL strategies are recommended over a FADE strategies, which should have at least 1 if not 2 challenges to the support integrity before executing a long off it. BREAKOUT strategies can risk a little more if current events and other MKTs of confluence confirm a positive posture with the expectation that the Bull Trend is going to resume. If not a better approach would be to FADE a negative "squeeze" reaction after a positive breakout signal as the neutral technical position can keep the trend sideways.

Note: The MKT is in a corrective position with the potential to move in either direction. Keep your opinions to themselves and focus on what the MKT is telling you it wants to do. Don't fight it, roll with it.
 
JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Wednesday, October 6, 2010

NASDAQ 100 Futures - NEW BEST FRIEND


Technically the MKT has produced a big positive signal and flirting with a shift into BULL TREND ACCELERATION position. Key off the 2010.50 Inflection Pivot. If the MKT is good it will maintain a trade above here and railroad higher. A breach of 2028.25 confirms this outlook targeting 2092 on any held advance. A break under 1992.75 removes the friendly feelings for this contract.

On the SELL side REVERSAL strategies can be executed off of major resistance levels. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area. A gradual decline following a reversal signal and it more likely just a pause before another round of buying, so in either scenario keep position management tight. Avoid SELL FADE strategies even with confirmation, as this is more likely a lid for a BREAKOUT BUY strategy. SELL BREAKOUT strategies are not recommended but can be used as a signal for a FADE against Directional Resistance.

On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous sessions low point. BREAKOUT strategies should just "go", so do not risk much. Be wary of these strategies early in the session and look to exit on the 1st break in structure. BUY FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift. The MKT is aggressively bid which should keep pace throughout the session if the TREND ACCELERATION forecast is going to play out.

Note: The worst-case scenario for a MKT in this technical position is to go higher early in the session and then break all day. Be alert to recognize this. If you have > 3 loser long trades consider taking the next sell signal anticipating a corrective turn. Remember in this technical position if the MKT is going higher it should just go. If not there is the potential for a corrective break or digestive trading environment.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Tuesday, October 5, 2010

CORN Fturures - BACK IN BIDNESS?




Technically the MKT is in a BULL TREND ACCELERATION posture and has produced a big positive signal. The MKT should "run" to a new level if the signal is valid.

Key off the 481-4 Inflection Pivot for an indication of the session bias. A held trade above here keeps the contract aggressively bid targeting 515-4 on any new interest. A break under 481-4 puts the positive signal in question and the MKT back in a difficult sideways trade.

On the SELL side REVERSAL strategies can be executed at extremes following an exhaustive signal. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area. A gradual decline following a reversal signal and it is more likely just a pause before another round of buying, so lock in any unrealized gains. SELL FADE strategies have potential but wait for repeated tests, with the best opportunity not violating the resistance level. Consider rolling long on any stops with this strategy. SELL BREAKOUT strategies are not recommended but can be used as a signal for a FADE against Directional resistance.

On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous session's low point. BREAKOUT strategies early in the session may have issues holding structure, so respect any break in momentum. BUY FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift. The MKT is aggressively bid which should keep pace throughout the session if the TREND ACCELERATION forecast is going to play out.

Note: The worst-case scenario for a MKT in this technical position is to go higher early in the session and then break all day. Be alert and recognize this. If you have > 3 loser long trades, consider taking the next sell signal, anticipating a corrective turn. Remember in this technical position if the MKT is going higher, it should just go. If not, there is the potential for a corrective break or digestive trading environment.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Monday, October 4, 2010

Eurex BOBL Futures - NEW INTEREST



Technically the MKT is in a BULL TREND ACCELERATION posture and has produced a big positive signal. The MKT should "run" to a new level if the signal is valid targeting 121.23 on any positive follow through. Key off the 120.46 Inflection Pivot. This is the base supporting the underlying positive momentum. If the MKT is heading higher it will not do much if any trading below here. A breach of 120.89 confirms fresh interest.

On the SELL side REVERSAL strategies can be executed at extremes following an exhaustive signal. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area. A gradual decline following a reversal signal and it is more likely just a pause before another round of buying, so lock in any unrealized gains. SELL FADE strategies have potential but wait for repeated tests, with the best opportunity not violating the resistance level. Consider rolling long on any stops with this strategy. SELL BREAKOUT strategies are not recommended but can be used as a signal for a FADE against Directional resistance.

On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous session's low point. BREAKOUT strategies early in the session may have issues holding structure, so respect any break in momentum. BUY FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift. The MKT is aggressively bid which should keep pace throughout the session if the TREND ACCELERATION forecast is going to play out.

Note: The worst-case scenario for a MKT in this technical position is to go higher early in the session and then break all day. Be alert and recognize this. If you have > 3 loser long trades, consider taking the next sell signal, anticipating a corrective turn. Remember in this technical position if the MKT is going higher, it should just go. If not, there is the potential for a corrective break or digestive trading environment.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME _EntryStrategies5min.wmv.


To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Thursday, September 30, 2010

DOW FUTURES - DICEY


Technically the MKT is in a NEUTRAL CORRECTIVE state producing a negative signal against a positive trend. Opportunity exists on both sides of the MKT.

Key off the 10799 Inflection Pivot for an indication of the session bias. If the corrective trade is going to have a bite the MKT will remain below here. A held breach and the buyers will try to take back the reigns.


On the SELL side avoid FADE strategies until after the previous session low point or major support level has been broken to confirm a negative shift in momentum. Until then a better opportunity will be a REVERSAL strategy but only off the 1st major resistance level. This is a one shot trade using a low risk big profit target criteria. The idea is that if the MKT is going to follow through on its negative signal any strength is just a "head fake " before it follows through. SELL BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE long at support targets. The trade is corrective and the underlying positive tone must be respected.


On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the positive momentum is going to resume. REVERSAL strategies are recommended over a FADE strategies, which should have at least 1 if not 2 challenges to the support integrity before executing a long off it. BREAKOUT strategies can risk a little more if current events and other MKTs of confluence confirm a positive posture with the expectation that the Bull Trend is going to resume. If not a better approach would be to FADE a negative "squeeze" reaction after a positve breakout signal as the neutral technical position can keep the trend sideways.

Note: The MKT is in a corrective position with the potential to move in either direction. Keep your opinions to themselves and focus on what the MKT is telling you it wants to do. Don't fight it, roll with it.


JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME _EntryStrategies5min.wmv.

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com . You can also visit http://www.jsservices.com/ and sign up for a Complimentary FREE Trial.

Wednesday, September 29, 2010

EUREX DAX Futures - SCARY THOUGHTS


Technically the MKT is in NEUTRAL TRANSITION and difficult trading conditions are expected. The MKT has produced an aggressive sell signal which should weigh on the MKT today if the signal is valid. If the integrity of the prior session's low remains intact a return to a sideways trend less trade is likely. Roll with any new weakness and leverage up if good risk parameters present themselves. The potential to get in at the beginning of a new move lower is real.


6260.0 is the Inflection Pivot to key off for the session tone. If the negative signal is going to follow through it will struggle to maintain a trade above here. Only above 6293.0 is the negative threat removed. A break under 6227.0 confirms fresh losses with 6161.0 and 6111.5 the extended targets for any negative follow through.
On the SELL side be more aggressive after the previous session low is taken out. Not that this is a pre-condition but should be noted as a confirmation of weakness. BREAKOUT strategies should just "go" so keep risk parameters tight. FADE into any positive reaction off an unsuccessful downside BREAKOUT after a resistance level is confirmed. Use a REVERSAL strategy to leverage up back under the original failure point. If the integrity of the previous session low remains intact, avoid REVERSAL strategies as expectations are that the "negative" signal is going to follow through it should do so straight away and any break in the negative momentum is a positive signal that the MKT is going to return to its neutral posture. FADE strategies are recommended early in the session or near the end. The negative signal will either play out from the get go or will weigh on the MKT in the latter stages of the trading session.

On the BUY side REVERSAL strategies can be executed off of major support levels at or near the previous session low point. Avoid this strategy on lower levels as any new weakness has the potential to be the beginning of a move. If the integrity of the previous session low remains intact FADE strategies can be accepted at or near this inflection point on the initial test with tight profit target objectives. If the MKT has already had a reaction off this support area avoid this strategy. Use BREAKOUT strategies as a signal to FADE a negative pull-back after a confirm break in the negative momentum. Only take this trade if the previous session low point remains intact. Otherwise this will be a SELL REVERSAL opportunity.

Note: This is a dangerous emotional trading environment. You should expect the MKT reactions to go a little further that you expect in either direction so anticipate this in your position and risk management.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME _EntryStrategies5min.wmv.

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Tuesday, September 28, 2010

CRUDE OIL Futures - CREEPER


Technically the MKT is in a BEAR TREND but in a DIGESTIVE posture. The MKT has produced a negative signal but has yet to confirm a shift into trend mode. Opportunity exists on both sides of the MKT but selling strength is the better opportunity.

Key off the 76.00 Inflection Pivot. If the MKT is bad it will break below here and not look back targeting 74.12 on any negative turn of events. A held trade above this Inflection Pivot and sentiment has the potential to shift. A breach of 77.25 confirms this outlook targeting 77.97 on the initial pop. Expect a reaction. 79.12 is the extended target for any reversal of fortune.


On the SELL side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. SELL BREAKOUT strategies should just "go" with the expectation of a clean breakout signal into a new trend. FADE strategies after a negative breakdown signal are good opportunities as well but expectation should be for the MKT to quickly move back under the failed support. If the trade becomes laborous it is more likely a signal that more digestive action is coming and a retest of resistance should be expected. Be more aggressive with FADE and REVERSAL strategies at or against the previous session high point targeting the opposing digestive support. Above the previous session high point entering after the 2nd or 3rd press into an area is recommended over stepping in front of the initial challenge.

On the BUY side BREAKOUT strategies are aggressive and should be entered sooner [lower] than later [higher]. Expectations should be for the MKT to make its move early in the session and not look back, holding structure most of the day. If the MKT digests prior to making a positive move it is more likely a short squeeze to FADE. BUY FADE strategies are aggressive and if they are going to work should do so on the initial test of support. Repeated tests or "confirmation" are more likely to give way to a lower trade. BUY REVERSAL strategies are recommended off the session initial major support only, as the MKT is vulnerable to a negative trend shift. The probability is to the downside today so don't get stubborn buying breaks.

Note: The MKT has produced a negative signal and is flirting with a turn for the worse. If it does not follow through on any new weakness a positive "reversal" is a likely outcome with a retest of the digestive resistance.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME _EntryStrategies5min.wmv .

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Monday, September 27, 2010

NASDAQ 100 INDEX Futures - PAUSE FOR THE CAUSE


Technically the MKT is in a NEUTRAL CORRECTIVE state producing a negative signal against a positive trend. Opportunity exists on both sides of the MKT.

Key off the 1999.50-1994.25 support band for an indication of the session tone. Above the 1994.25 Inflection Pivot the underlying momentum maintains a positive tone. A held failure here confirms yesterday's negative signal targeting 1966.50 and 1957.50 on any new losses. Expect no follow through. A rise above 2032 is needed to bring back the aggressive bid targeting 2062.75 on any revival.


On the SELL side avoid FADE strategies until after the previous session low point or major support level has been broken to confirm a negative shift in momentum. Until then a better opportunity will be a REVERSAL strategy but only off the 1st major resistance level. This is a one shot trade using a low risk big profit target criteria. The idea is that if the MKT is going to follow through on its negative signal any strength is just a "head fake " before it follows through. SELL BREAKOUT strategies can be profitable but they are aggressive and should look to take profits and potentially REVERSE long at support targets. The trade is corrective and the underlying positive tone must be respected.

On the BUY side accept BREAKOUT, FADE and REVERSAL strategies off major inflection points with the expectation that the positive momentum is going to resume. REVERSAL strategies are recommended over a FADE strategies, which should have at least 1 if not 2 challenges to the support integrity before executing a long off it. BREAKOUT strategies can risk a little more if current events and other MKTs of confluence confirm a positive posture with the expectation that the Bull Trend is going to resume. If not a better approach would be to FADE a negative "squeeze" reaction after a positive breakout signal as the neutral technical position can keep the trend sideways.

Note: The MKT is in a corrective position with the potential to move in either direction. Keep your opinions to themselves and focus on what the MKT is telling you it wants to do. Don't fight it, roll with it.

JS



* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Sunday, September 26, 2010

SP500 INDEX Futures - SKEPTICAL

 

- The MKT has produced a major positive technical signal and is flirting with a shift into a more aggressive trend position. Key off the 1150.50-1147.25 resistance band as a pivotal area for trading at these levels. If the MKT is going to extend higher it will build a base above here to make a run for the 1175 level. A held trade below 1147.25 signals a big digestive trade with the 1118.50 Inflection Pivot the low point for a new consolidation. 

On the SELL side avoid UP FADE strategies and use a REVERSAL instead. The MKT is excited but has yet to confirm any new advance. Expectations are that any false positive breakout signal will be met with a sharp negative reaction. DP BREAKOUT strategies are a lower probability but are valid and in line with a reversal scenario.


- On the BUY side accept FADE, BREAKOUT and REVERSAL strategies. UP BREAKOUT strategies have the potential to run. If so, they will just "go" and not look back. Any stop and go action and any profits should be realized as it is more likely the MKT will be setting up a re-test of the DIR support to FADE before it can extend higher. FADE and REVERSAL strategies should work off the DP and only provide one opportunity. Repeated tests or base building and it is more likely the MKT is going to search for its lower digestive extreme rather than resume a positive course.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Thursday, September 23, 2010

WHEAT Futures - SHAPE SHIFT


Technically the MKT is in a BEAR TREND ACCELERATION position and is vulnerable to the offer with all trading below the 713-6 Inflection Pivot. Any positive corrective action is expected to be short lived with only one upside "stop squeeze" if the negative momentum is going to play out. Resistance at 707-2 should also be considered as a potential peak. Any held strength and repeated probe higher is a sign that the trade will turn digestive. This does not take away from the negative bias but does limit the profit potential for any new sales in the session. A break under 694-2 confirms fresh losses with 681-2 the initial target.


On the SELL side accept FADE, REVERSAL and BREAKOUT strategies below the previous sessions high point. BREAKOUT strategies should just "go", so do not risk much. FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold lower structure and any momentum shift should be considered a potential positive corrective turn.

On the BUY side avoid REVERSAL strategies off major support levels as these signals are more likely short squeeze rallies and opportunities to SELL into and FADE. BREAKOUT strategies above the previous session high are a long shot, so risk less and go for more. Any BUY FADE should have confirmation and are not recommended if the integrity of the previous session high is intact. After a break in the negative structure confirmed support levels can be used for short term reactions using aggressive position management.

Note: The MKT is in an aggressive sell posture. If the previous session high is intact its just a matter of time before the sellers try to overwhelm the MKT. Look for excuses to get short. If the previous session high is breached opportunity will be on both sides of the MKT, however the bias still rests with the Bears.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Monday, September 20, 2010

NAT GAS FUtures - TEMPERATURE CHANGE


Technically the MKT is in a BEAR TREND ACCELERATION position and is vulnerable to the offer. Any positive corrective action is expected to be short lived and top out below the 3.981 resistance pivot with only one upside "stop squeeze" if the negative momentum is going to play out. Any held strength and repeated probe higher is a sign that the trade will turn digestive. This does not take away from the negative bias but does limit the profit potential for any new sales in the session.


Key off the 3.880 Inflection Pivot for an indication of the session tone. Below here the aggressive offers remain in command and a failure from 3.779 puts this market on the ropes down to 3.577 and 3.505 on any new losses. Only a rise above 3.981 gives this contract some relief.
On the SELL side accept FADE, REVERSAL and BREAKOUT strategies below the previous sessions high point. BREAKOUT strategies should just "go", so do not risk much. FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold lower structure and any momentum shift should be considered a potential positive corrective turn.

On the BUY side avoid REVERSAL strategies off major support levels as these signals are more likely short squeeze rallies and opportunities to SELL into and FADE. BREAKOUT strategies above the previous session high are a long shot, so risk less and go for more. Any BUY FADE should have confirmation and are not recommended if the integrity of the previous session high is intact. After a break in the negative structure confirmed support levels can be used for short term reactions using aggressive position management.

Note: The MKT is in an aggressive sell posture. If the previous session high is intact its just a matter of time before the sellers try to overwhelm the MKT. Look for excuses to get short. If the previous session high is breached opportunity will be on both sides of the MKT, however the bias still rests with the Bears.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Sunday, September 19, 2010

Dec' 10 GOLD Futures - NOT SO FAST



Technically the MKT has produced a positive signal into the upper extreme and will need to hold structure if it is going to avoid a drop back into a digestive trade. Key of the 1261.3 Inflection Pivot. This is the low point for any pull-back today if the underlying positive momentum is going to keep pace. If the MKT is going to make a fresh run in the session it is unlikely it will spend much time if any below 1268.0. If so it is more neutral than negative as only a break under 1261.30 signals a sentiment shift. 1281.4 is the upside hurdle for any new leg higher.


On the SELL side UP FADE signals are valid but REVERSALS are a better option. Use resting profit limits and tight stops. DIR and DP BREAKOUT strategies are aggressive but do have the potential to profit from a quick negative move out of the extreme. Use tight position management as any unrealized profits can be erased quickly.

On the BUY side accept DP FADE signals after confirmation. The MKT is extended and may search for stops before it resumes its Bull move. REVERSAL strategies are a better option. The sharper the break, the better for an entry with the expectations that the MKT is going to revisit the recent move high. BUY DIR and UP BREAKOUT strategies may need to be "worked" as the MKT is extended and has the potential to produce some starts and stops.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Wednesday, September 15, 2010

USDJPY FOREX - NOW WHAT?



Technically the MKT is in a DIGESTIVE BULL TREND and is flirting with a shift into a more aggressive positive position. Look for excuses to get long but respect the digestive nature and avoid pressing any position.


The 8418 Inflection Pivot is the base for any pullback if yesterday's intervention is going to have any lasting effect. A breach of 8592 and the powers that be will no doubt toast a little sake. A dip under 8418 and a digestive trade is the expectation.

On the SELL side avoid FADE strategies and use a REVERSAL instead. The MKT is excited but has yet to confirm any new advance. Expectations are that any false positive breakout signal will be met with a sharp negative reaction. BREAKOUT strategies are a lower probability but are valid and in line with a reversal scenario. If the MKT has already produced a false positive signal and is holding negative reversal structure, this strategy has potential. Expectations are that any negative BREAKOUT should just go and with the MKT staying under pressure into the close and expanding the digestive range. Anticipate a positive turn and consider reversing off lower support structure.

On the BUY side accept FADE, BREAKOUT and REVERSAL strategies. BREAKOUT strategies have the potential to run. If so, they will just "go" and not look back. Any stop and go action and any profits should be realized as it is more likely the MKT will be setting up a re-test of support to FADE before it can extend higher. FADE and REVERSAL strategies should work off initial major support and only provide one opportunity. Repeated tests or base building and it is more likely the MKT is going to search for its lower digestive extreme rather than resume a positive course.

Note: The MKT has produced a positive signal but is not confirmed. Be ready for it but if it does not materialize, beware of a negative reaction. Don't get caught fading a break that continues to hold structure as the MKT may be defining its lower digestive extreme and will most likely find it after it hits your last sell stop.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Monday, September 13, 2010

CRUDE OIL Futures - TEMPERATURE CHANGE



Technically the MKT is in a BULL TREND ACCELERATION posture and has produced a big positive signal. The MKT is in "play" and aggressive action is expected off of technical signals. Anticipate opportunity and position management adjustments, as quick price action is likely.

The 75.74 Inflection Pivot is the base keeping the MKT aggressively bid. This and the 76.57 support are the expected low points for any pull back if the positive signal is going to follow through. A breach of 77.81 confirms this forecast.
On the SELL side REVERSAL strategies can be executed off of major resistance levels. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area. A gradual decline folowing a reversal signal and it more likely just a pause before another round of buying, so in either scenerio keep position management tight. Avoid SELL FADE strategies even with confirmation, as this is more likely a lid for a BREAKOUT BUY strategy. SELL BREAKOUT strategies are not recommended but can be used as a signal for a FADE against Directional reisstance.

On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous sessions low point. BREAKOUT strategies should just "go", so do not risk much. Be wary of these strategies early in the session and look to exit on the 1st break in strucutre. BUY FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift. The MKT is aggressively bid which should keep pace throughout the session if the TREND ACCELERATION forecast is going to play out.

Note: The worst-case scenario for a MKT in this technical position is to go higher early in the session and then break all day. Be alert to recognize this. If you have > 3 loser long trades consider taking the next sell signal anticipating a corrective turn. Remember in this technical position if the MKT is going higher it should just go. If not there is the potential for a corrective break or digestive trading environment. 

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Thursday, September 9, 2010

US 30YR T-BOND Futures - HOLD OR FOLD


Technically the MKT is at a NEUTRAL NEGATIVE EXTREME and is ready to either pop back into a firm neutral posture or break into a new down trend. The MKT has produced a technical sell signal into support and is in a "Hold or Fold" scenario. Volatility as well is on the fence and ready to rise with a new trend move and decline with some sideways "positioning".


130-12 is the base supporting the MKT from a negative shift. Don't fight weakness below here as emotions are expected to enter the equation. The 132-23 Inflection Pivot is the high point for any positive reaction today if the negative sentiment is going to weigh on the contract. Fade moves into this resistance until proven otherwise.
On the SELL side accept FADE and BREAKOUT strategies expecting an immediate follow through to the MKT's technical sell signal. BREAKOUT strategies should be worked with the expectation that any sustained trade and repeated tests of support will give way to negative follow through. This strategy is vulnerable to the MKT expanding its lower support band in a series of starts and stops. Keep profit targets extended to pay for any monies spent holding a position. FADE strategies should expect an immediate reaction as any held trade or violation of major resistance foreshadows a potential turning point. These are good opportunities to "roll" into a long position when stopped out.

On the BUY side FADE and REVERSAL strategies off major support base are qualified however the FADE is a lower probability and should use tight risk criteria. REVERSALs can risk more but should also go for more profit with the expectation of a turning point "key reversal" signal to play out. BREAKOUT strategies are aggressive and should just "go" and not look back. Risk less and go for more. A laborious lack-luster rise after a positive breakout is a sign that the MKT is more likely expanding its resistance lid for a new consolidation verses transition from negative to positive technical posture.

Note: The MKT has produced a negative signal but it is not confirmed and trending indicators do not support follow through in either direction at this time. The MKT has the potential for big range conditions so don't get stuck FADing momentum in either direction.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


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Wednesday, September 8, 2010

BRITISH POUND Futures - POSITIVE TRANSITION


Technically the MKT is in NEUTRAL TRANSITION and difficult trading conditions are expected. The MKT has produced an strong positive signal which should keep the MKT firm today if the signal is valid. If the integrity of the prior session's high remains intact a return to a sideways trend less trade is likely. Roll with any new strength and leverage up if good risk parameters present themselves. The potential to get in at the beginning of a new move higher is real.


The 15410 Inflection Pivot is the base supporting the positive signal. If the currency is heading higher it will not do much if any trading below here. A breach of 15534 confirms the positive sentiment targeting 15689 on any new advance. A break under 15379 negates the optimistic outlook.
On the SELL side REVERSAL strategies can be executed off of major resistance levels at or near the previous session high point. Avoid this strategy on higher levels as any new strength has the potential to be the beginning of a move. If the integrity of the previous session high remains intact FADE strategies can be accepted at or near this inflection point on the initial test with tight profit target objectives. If the MKT has already had a reaction off this resistance area avoid this strategy. Use BREAKOUT strategies as a signal to FADE a positive pull-back after a confirm break in the positive momentum. Only take this trade if the previous session high point remains intact.

On the BUY side be more aggressive after the previous session high is taken out. Not that this is a pre-condition but should be noted as a confirmation of strength. BREAKOUT strategies should just "go" so keep risk parameters tight. FADE into any negative reaction off an unsuccessful upside BREAKOUT after a support level is confirmed. Use a REVERSAL strategy to leverage up after the MKT gets back above the original breakout point. If the integrity of the previous session high remains intact, avoid REVERSAL strategies as expectations are that the "positive" signal is going to follow through it should do so straight away and any break momentum is a negative signal that the MKT is going to return to its neutral posture. FADE strategies are recommended early in the session or near the end. The positive signal will either play out from the get go or will make its move in the latter stages of the trading session.

Note: This is a dangerous emotional trading environment. MKT reactions to go a little further that you expect in either direction so anticipate this in your position and risk management.

JS

* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


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Tuesday, September 7, 2010

EURUSD Forex - GOING NOWHERE FAST


Technically the MKT is in a BEAR TREND but in a DIGESTIVE posture. The MKT has produced a big negative signal but has yet to confirm a shift into trend mode. Look for excuses to get short below the 12772 Inflection Pivot and use a failure from the 12626 support pivot to confirm a new move south. A held trade above 12772 shift the forecast sideways.


On the SELL side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. SELL BREAKOUT strategies may need to be "worked" as teh big negative signal will have the sellers excited. FADE strategies after a negative breakdown signal are good opportunities as well and can provide favorable area to put on leverage against structure. Be more aggressive with FADE and REVERSAL strategies at or against the previous session high point targeting the opposing digestive support. Above the previous session high point enterying after the 2nd or 3rd press into an area is recomended over stepping in front of the initial challenge.

On the BUY side BREAKOUT strategies are aggressive and should be entered sooner [lower] than later [higher]. Expectations should be for the MKT to make its move early in the session and not look back, holding strucutre most of the day producing a positive "reversal" signal. If the MKT digests prior to making a positive move it is more likely a short squeeze to FADE. BUY FADE strategies are aggressive and if they are going to work should do so on the initial test of support. Repeated tests or "confirmation" are more likely to give way to a lower trade. BUY REVERSAL strategies are not recommended as any failure is confirmation of a negative trend shift. The probability is to the downside today so don't get stubborn buying breaks.

Note: The MKT has produced a big negative signal and is flirting with a turn for the worse. If it does not follow through on any new weakness it is more likely a nuetral shift than a positive one.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Monday, September 6, 2010

EURUSD Forex - TRUTH OR DARE


- The MKT is in a holding pattern and is trying to shift into a more aggressive positive position. Key of the 12854 Inlection Pivot for an indication of market sentiment. A held trade above here is needd to keep the buyers happy. A breach o 12926 conirms a fresh adance. A break under 12776 is needed to negate the underlying posiitve tone and put the MKT back on the defensive.

- On the SELL side avoid FADE strategies and use a REVERSAL instead. The MKT is excited but has yet to confirm any new advance. Expectations are that any false positive breakout signal will be met with a sharp negative reaction. BREAKOUT strategies are a lower probability but are valid and in line with a reversal scenario. If the MKT has already produced a false positive signal and is holding negative reversal structure, this strategy has potential.


- On the BUY side accept FADE, BREAKOUT and REVERSAL strategies. BREAKOUT strategies have the potential to run. If so, they will just "go" and not look back. Any stop and go action and any profits should be realized as it is more likely the MKT will be setting up a re-test of support to FADE before it can extend higher. FADE and REVERSAL strategies should work off initial major support and only provide one opportunity. Repeated tests or base building and it is more likely the MKT is going to search for its lower digestive extreme rather than resume a positive course.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .


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Wednesday, September 1, 2010

AUDUSD Forex - TIME TO PLAY A CARD


- Technically the MKT has produced a major positive signal and will need to maintain a trade above the 9078 Inflection Pivot to keep yesterday's aggressive buying engaged. A break under 9032 negates the aggressive positive posture shifting the MKT into a digestive trade.

On the SELL side REVERSAL strategies can be executed at extremes following an exhaustive signal. SELL FADE strategies have potential after the 3rd press into an area but retaining the integrity of the inflection point. Consider rolling long on any stops with this strategy. SELL BREAKOUT strategies are not recommended but can be used as a signal for a FADE against Directional resistance.


- On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above 9032. BREAKOUT strategies early in the session may have issues holding structure so respect any break in momentum. BUY FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

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Tuesday, August 31, 2010

US 30YR T-BOND Z'10 Futures - POSITIVE SIGNAL NEEDS CONFIRMATION


- Technically the MKT has produced a big positive signal and will need to sustain a trade above 134-15 to keep the buyers aggressive. A breach of 135-07 confirms a new leg higher. Only below 133-23 is the signal negated signaling a drop back into a digestive trade.

On the SELL side REVERSAL strategies can be executed off of major resistance levels. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area. Avoid SELL FADE strategies even with confirmation. SELL BREAKOUT strategies are not recommended but can be used as a signal for a FADE against Directional resistance.


- On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous session's low point. BREAKOUT strategies should just "go", so do not risk much. Be wary of these strategies early in the session and look to exit on the 1st break in structure. BUY FADE strategies are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift high.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Monday, August 30, 2010

SP500 INDEX Futures - FLIP FLOP


Technically the MKT is in a BEAR TREND and has produced a negative signal. The MKT is vulnerable and all sell signals should be considered below the 1047.75 Inflection Pivot. If the negative momentum is going to follow through the market will struggle to maintain a trade above here.  If so a return to a firm sideways trade is the forecast.


On the SELL side accept all BREAKOUT, FADE and REVERSAL signals. If the MKT produces a BREAKOUT signal early in the session below 1037.25 it should just "go" and not look back. Beware of any break in early negative structure, as a corrective rally up to 1056.25 and 1066 resistance is a likely scenario. Be selective and wait for an exhaustive signal to re-enter to avoid selling the corrective rally all the way up to your "ideal" sell points but with no confidence left or dry powder. Practice good size management on this move accepting sell signals but leveraging up at the resistance turning points. Anticipate a price "zone" around a major resistance point to FADE. Have a plan and be ready. If your stop gets hit and the MKT does not immediately follow through, consider re-entering, even doubling up if there is structure to define low risk. ONLY keep an aggressive BEAR posture below 1047.75. Above here the MKT is vulnerable to a rally with a breach of 1056.25 the confirm point.

On the BUY side REVERSAL strategies can be executed off of major support levels but preferably after an emotional sell off early in the session. This is an aggressive strategy and any profits should be realized at the previous support failure points. Expectations should be for an immediate "V" bottom turn with the MKT quickly moving away from the area or a gradual rise with higher lows after a lower exhaustive signal. Avoid FADE BUYS even with confirmation, as this is more likely a plateau for a BREAKOUT SELL strategy. BUY BREAKOUT strategies above 1047.75 should just go producing a low volatility one way trade higher. Any stops and go action should be viewed as negative. 

Note: The MKT has produced a negative signal and should follow through with authority from the get go if it is serious. If not expect some starts and stops. Be patient and wait for opportunity. A held trade above the 1047.75 has the potential to bounce this contract back on its feet. Don't fight positive structure.


JS

* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.

Thursday, August 26, 2010

RUSSELL 2000 INDEX Futures - FUN AND GAMES


Technically the MKT is in a BEAR TREND but in a DIGESTIVE posture. The MKT has produced a big negative signal but has yet to confirm a shift into trend mode. Look for excuses to get short with all trading below the the 611.40 Inflection Pivot.


On the SELL side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. SELL BREAKOUT strategies below 593.00 may need to be "worked" as teh big negative signal will have the sellers excited. FADE strategies after a negative breakdown signal against 602.50 are good opportunities as well and can provide favorable area to put on leverage against structure. Be more aggressive with FADE and REVERSAL strategies at 611.40 or against the previous session high point targeting the opposing digestive support. Above the previous session high point enterying after the 2nd or 3rd press into an area is recomended over stepping in front of the initial challenge.

On the BUY side BREAKOUT strategies above 611.40 are aggressive and should be entered sooner [lower] than later [higher]. Expectations should be for the MKT to make its move early in the session and not look back, holding strucutre most of the day producing a positive "reversal" signal. If the MKT digests prior to making a positive move it is more likely a short squeeze to FADE. BUY FADE strategies off 593.00 are aggressive and if they are going to work should do so on the initial test of support. Repeated tests or "confirmation" are more likely to give way to a lower trade. BUY REVERSAL strategies are not recommended as any failure is confirmation of a negative trend shift. The probability is to the downside today so don't get stubborn buying breaks.

Note: The MKT has produced a big negative signal and is flirting with a turn for the worse. If it does not follow through on any new weakness it is more likely a nuetral shift than a positive one.

JS


* ENTRY STRATEGY - 5min web video explaining FADE, BREAKOUT and REVERSAL strategies http://www.jsservices.com/education/sbt/CME_EntryStrategies5min.wmv  .

To learn more about JS Services Strategy Based Trading approach please contact me at info@jsservices.com  . You can also visit http://www.jsservices.com/  and sign up for a Complimentary FREE Trial.