European stocks were lower after EU officials said that new sanctions against Russia will enter into force on Friday. There was also weak economic data from Germany and China. The EIA cut its estimate for crude oil demand for 2015, which added to pressure on crude futures. In US news, weekly jobless claims came in higher than forecast. At 9:30 AM CT is the weekly EIA natural gas storage report; forecasts are for an injection of 80 bcf last week. At 11 AM is a WASDE (World Ag Supply Demand Estimate) report from the USDA.
December eMini SP Futures: It’s a Taylor Trading Technique Sell day, however, with the daily trend turning down I might consider being short below the Fibonacci retracement level at 1981.00. Support is at 1977.75 (20 day EMA) and then yesterday’s low of 1973.75.
Dec. eMini NASDAQ Futures: It’s a TTT Sell day and yesterday was an inside day- will there be a breakout move today? Watch the 4068 level as a pivot point for a selloff.
Dec. T Bonds: It’s a “cover breakout sales” day so a TTT Buy day is anticipated. The daily trend is down so we should treat longs as a scalp only. There’s trend line resistance at 137-21; next resistance is 137-24 (broken Fib support).
Dec. Euro: The 1.2970 area has been the top of the recent range; watch it if the market can reach cup there (Sell Short day?)
Dec. British Pound: It’s an “exit b.o. buys” day so a TTT Sell Short day is anticipated. A rally to 1.6273 would fill the downside gap; watch the 1.6230 area as the first reference price for a downside reversal.
Dec. Gold: ROC remains at a sell level; watch the June lows in the 1242 area as a pivot point for extending the selloff.
Dec. Silver: It sold off out of a breakout setup; the 30 May low of 1870 is a reference price for the selloff.
Dec. Cocoa: TTT Sell day and yesterday was an inside day- look to be short below the 3059 Fib level; Tuesday’s low of 3030 is the next downside target.
Oct. Crude Oil: The inability to regain broken low support at 91.80 kept the downside pressure on. I would still consider a buy for a scalp if it regains yesterday’s low of 91.22.
Oct. Natural Gas: Breakout setup (ID, NR7). Overnight saw a downside breakout when it moved below yesterday’s low of 3.937. The weekly EIA NG report is out at 9:30 AM CT; look for a potential breakout move after it.
Oct. Live Cattle: Yesterday saw a big range but ended with a doji- will it make up its mind today? Watch yesterday’s low of 157.95 as a reference price for the downside.
Oct. Lean Hogs: TTT Sell Short day, watch Monday’s swing high of 106.15 as a pivot point for the selloff.
Grain Futures: There’s a USDA supply / demand report out at 11 AM CT; keep an open mind going into it.
Nov. Soybeans: Breakout setup (NR7, doji); watch 993-2 (overnight high) and 986-2 (overnight low) as reference prices for the day session.
Dec. Wheat: Treat the day session as a breakout setup, use the overnight high (519-2) and low (515-4) as reference prices.
Dec. Corn: Yesterday was an inside day; would a break below the 343-0 low see downside follow through?
Essential Guide for Futures Swing Trading
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