Stocks are trading sideways, digesting yesterday’s gain. A big impetus for yesterday’s rally was the weak retail sales report. It was the third straight monthly decline and is leading some to push back the timing of the Fed rate hike cycle. With the FOMC meeting next week thoughts of the Fed are front and center. The February PPI report helped the Fed dove camp as wholesale prices showed a pretty sharp decline. At 9 AM CT we get the preliminary reading of the Reuters / U. of Mich. consumer sentiment; it is forecast to show a gain of 0.6 to 96.0. The strength in the USD and the renewal of the selloff in crude oil cast a pall on global growth prospects.
June EMini S&P Futures: It’s an “exit breakout buys” day so a Taylor Trading Technique Sell Short day was anticipated. 2059.00was the reference price and there was a high violation sale overnight. Now the question is what to do today? I’d start by watching the previous overnight low of 2054.75 as a reference price. 2045.75 is the first downside target.
June EMini NASDAQ Futures: It’s a TTT Sell day; with the daily trend down I would consider pressing the short side- watch the Fibonacci retracement level at 4313.75 as a pivot point.
June Swiss Franc: I would look to short on a break of the session low of 9951.
June Canadian Dollar: TTT Sell Short day; with the trend down I might press the short side and sell if it breaks below yesterday’s low of 7820.
May Sugar: It sold off out of a breakout setup; watch 12.97 (previous contract low) as a pivot point for extending the downside.
May Coffee: Consider selling a break of 130.00 (Thursday low) for a downside breakout move.
May Cotton: Sell day; watch the Fibonacci retracement level at 60.92 as a pivot point for extending the downside.
May Soybeans: Watch 981-6 (Tuesday low) as a reference price today for either more downside or for a TTT Buy day.
May Bean Oil: (This trade may take a while to go anywhere however I like the setup). If you didn’t short it yesterday, look to short BOK today if it takes out yesterday’s low of 30.78. The Tuesday low of 30.65 will be a pivot point for the selloff; taking that out could target the late Jan low of 29.56.
Essential Guide for Futures Swing Trading
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