This is a sample entry from Don DeBartolo’s email newsletter, Trade Spotlight: Futures, published on Thursday, October 13, 2016.
There is a potential trade opportunity based on a Trend Line Formation in the Sugar futures market. The Trend Seeker is Up, but with a Weak ranking. The MACD and Stochastic indicators have hooked bearish. Anticipating the Trend Seeker to change to Down after a Trend Line breakout.
Sell the March 2017 Sugar futures contract at 22.50 using a stop order, GTC.
Entry is a break of the Trend Line and 10/03/16 low. Initial margin: $1,848 Maintenance margin: $1,680
If filled:
Stop loss: Place buy stop on 23.65, above recent session highs, GTC. ($1,288)
Target: Place buy limit on 19.00, a potential support level, GTC. ($3,920)
March 2017 Sugar Chart
Contact your Daniels Trading broker by phone or email to place this trade.
Risk Disclosure
STOP ORDERS DO NOT NECESSARILY LIMIT YOUR LOSS TO THE STOP PRICE BECAUSE STOP ORDERS, IF THE PRICE IS HIT, BECOME MARKET ORDERS AND, DEPENDING ON MARKET CONDITIONS, THE ACTUAL FILL PRICE CAN BE DIFFERENT FROM THE STOP PRICE. IF A MARKET REACHED ITS DAILY PRICE FLUCTUATION LIMIT, A "LIMIT MOVE", IT MAY BE IMPOSSIBLE TO EXECUTE A STOP LOSS ORDER.
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