The September employment report undid some of the angst caused by the weak August NFP report. September payrolls showed a gain of 248K, higher than the median forecast of +215K. Additionally, the August payroll figure was revised up to 180K, a gain of 38,000. This was a good report for the financial markets. Employment growth is strong, while wage inflation is low. This keeps the policy Fed’s options open. On the other hand, the employment report highlights the current difference in thinking between US policy makers and the rest of the world- in the US the discussion is about when we will begin to raise rates, while mush of the rest of the world is still looking for ways to boost economic growth. Later this morning we get the Sept. ISM non-manufacturing index; it is forecast to be down 0.8 to 58.8.
Dec. eMini S&P Futures: It’s a Taylor Trading Technique Sell day; obviously the bulls weren’t satisfied with yesterday’s rally. Watch the 1949.00 area as a reference price this morning; Monday’s low of 1955.50 is the next rally resistance / objective.
Dec. eMini Russell Futures: Another Taylor Trading Technique Sell day; watch the 1100 area as a pivot point this morning.
Dec. T Bond Futures: TTT Buy day. The selloff held Fibonacci retracement support at 138-11. 138-31 is the Buy day reference price with 139-06 the first rally objective.
Dec. Euro: Today was an “exit breakout buys” day so a TTT Sell Short day was anticipated. The selloff got a push when it broke below Tuesday’s low of 1.2578; look to stay short below that level.
Dec. Gold: It sold off out of a breakout setup; watch the 1200 level as a pivot point this morning- below it targets 1195.50 while holding above could test broken low resistance at 21204.30.
Dec. Silver: Sold off out of a breakout setup; watch Tuesday’s low of 1685 as a pivot point this morning. On a recovery rally watch the 1700 area as resistance.
March Sugar: Breakout setup; yesterday’s high (16.27) and low (15.90) are the reference prices.
Nov. Crude Oil: It’s a Taylor Trading Technique Sell day. Yesterday’s rally was large enough that it likely expended the upside momentum, and it stopped at Fibonacci retracement resistance of 91.54. A break under the 91.60 could extend the selloff.
Dec. Live Cattle: It would be a TTT Sell Short day however Thursday was an NR4 day and the longer term up trend is strong. Watch Thursday’s high of 166.95 after the 9:05 AM pit open.
Nov. Soybeans: Taylor Trading Technique Sell Short day. 925-4 is the SS day reference price. 921-0 is first support and 916-0 is the first downside target.
Dec. Wheat: Sell Short day. I would consider shorting on a break below 479; watch the 485 area for a stop loss.
Dec. Soymeal: Sell Short day, 302.00 is the reference price.
Essential Guide for Futures Swing Trading
In this guide, experienced trader and broker Scott Hoffman explains the trading methods he uses to analyze and trade the futures markets and to publish his trade advisory, Swing Trader’s Insight.
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