SchoolOfTrade Day Trading Newsletter 05-19-14

Click here to register for the Free Trial!

=========================================================

“Stay committed to your decisions, but stay flexible in your approach.” Today’s Newsletter:

Markets Today: Gold trades sideways, Crude Oil & Mini-Russell push

higher

News for Tomorrow: No Major News in the US, but fireworks on the

way!

Trading Opportunities: Price wedge on Gold, Buying Crude Oil and

Mini-Russell

=========================================================

The Markets Today:

Crude Oil:

Reminder:

We had contract rollover on Crude Oil Futures, now trading 07-14 contract.

Crude Oil pushed higher over the weekend, we assume on the concerns coming

out of Ukraine, and made it all the way up the highs from last week in the pre-

market and then the price-action traded in a very narrow, sideways-trading-range

for the rest of the US session.

It is VERY clear that Crude Oil is trending higher, with BIG GAPS in price from one

day to the next, which tells us that the moves are happening in the London

trading session, and then in the US session we are getting a range-bound market.

IN the US we are used to get the big moves from 8am – 1030am EST, but that

hasn’t been happening, so a professional trader will start to find ways to trade

this range-bound market each day instead.

Our plan for Crude Oil is to keep using these range-bound markets in the US

session to look for buying opportunities at the lows and selling opportunities at

the highs because the bigger moves have already happened overnight.

Most Important thing I see on this chart:

The most important thing I see on this chart is two-fold.

First, the long-term-trend is showing us a bullish price channel on this VIP chart.

In addition to that, we have a new projection up around $104/barrel which may

be a big clue of what is coming in the summer driving season.

Second, the lows of this price channel are conveniently located below us at the

prior-week closing price of 102.01 (also a big-round-number). This is WAY too

convenient, so we can expect to see price-action push lower tomorrow down to

the lows of the price channel before pushing to new higher-highs later in the

week.

Important Levels to Watch for Crude Oil tomorrow:

HOD/LOD: 103.09 /102.49

PHOD/PLOD: 102.23 / 101.61

PW-HIGH: 102.65

PW-LOW: 100.36

PW-OPEN: 100.44

PW-CLOSE: 102.01

Make sure you register for our Nightly-Newsletter on our website so you don’t

miss these winning trading opportunities next time!

=========================================================

Gold:

Gold continued to trade sideways this morning, now inside a trading-range that

covers almost 2 full weeks of price-action, which is UNHEARD OF on a market like

Gold futures.

We can see the range highs at 1309.2 will act as resistance and the lows down at

1287.7 and 1284.7 will act as major support until this range is broken.

Our plan for tomorrow on Gold will be keep a close eye on the highs and lows of

this range, and look for price-reversal opportunities, buying at the lows, selling at

the highs, and avoiding the middle of the range.

Most Important thing I see on this chart:

We are in the middle of this very strong price range, which means I will be looking

for buying opportunities at the lows, and selling opportunities at the highs.

Important Levels to Watch for Crude Oil tomorrow:

HOD/LOD: 1305.7 / 1293.2

PHOD/PLOD: 1309.2 / 1287.7

PW-HIGH: 1309.2

PW-LOW: 1287.7 & 1284.7

PW-OPEN: 1296.1

PW-CLOSE: 1293.3

Don’t forget to register for our Nightly-Newsletter so you never miss another

trading opportunity again!

=========================================================

Mini-Russell:

Mini-Russell pushed higher today, and went straight the prior-week’s opening

price at 1111.3, which tells us that this market-personality is completely balanced

this evening as we go into Tuesday.

Today’s price-action was a bit sloppier than normal because of ‘re-balancing’

Monday, which is the day following OPEX-Friday when asset-managers are re-

entering into positions from last week.

We had a nice wide range today, over 200-ticks from low to high, which tells us to

look for a much narrower range day tomorrow.

Most Important thing I see on this chart:

The most important thing I can see on this chart is that we are in the middle of

the range from 1135.1 down to 1078.7, which tells me to look for attempts to

breakout, followed by price-reversal opportunities at the highs and lows later this

week.

Important Levels to Watch for Mini-Russell tomorrow:

HOD/LOD: 1115.3 / 1094.0

PHOD/PLOD: 1100.7 / 1084.7

PW-HIGH: 1135.1

PW-LOW: 1078.7

PW-OPEN: 1111.4

PW-CLOSE: 1099.2

Did you register for the Nightly-Newsletter on our website? Make sure you

register so you never miss another newsletter or winning trade again!

=========================================================

News Tomorrow:

Today was the first day after Options-Expiration last Friday, which we call ‘re-

balancing Monday’.

Today was a Monday without any major news in the US session; and tomorrow is

going to be much of the same.

We do not have any major news on Tuesday’s calendar in the US

Session.

Contract Rollover:

Please remember to roll-forward on Crude Oil Futures to the 07-14 contract.

Need help with Contract Rollover? Click here to learn more.

Memorial Day Weekend Ahead:

Please be aware we have a short week ahead of us, with the very popular

Memorial Day Weekend ahead of us in the US, which is the un-official start of

summer.

=========================================================

Day Trading Opportunities for Tomorrow:

Crude Oil:

Crude Oil is bullish this evening on our anchor chart, making new higher-highs and

higher-lows on the way to the highs of the trading-range around the $104 big-

round-number.

One thing is for sure, the events in Ukraine, combined with the summer driving

season kicking into high-gear this weekend; we may see a very bullish market-

personality for the rest of this week into the holiday weekend ahead.

As you can see, we have defined many buy-zones below us, as well as many

resistance targets overhead so that we can be ready for this potential bullish

market-personality for tomorrow.

Our day trading plan for Crude Oil is to avoid buying new

highs, and wait patiently for price-action to pullback into one

of our buy-zones below us for the most effective way to trade

this bullish market-personality.

We are looking to buy at 102.18, 101.97, 101.66, 101.48 and 101.40as this price-

action pulls-back off these highs. Our profit-targets overhead will be at 102.92,

103.45, 103.85, 104.06 and 104.22.

The most important thing about this day trading strategy for Crude Oil is not to

try to predict the buying opportunities, but staying patient for price to react off

one of these buy-zones and then move to our entry chart to look for the entry

pattern.

Short-Term Trading & Scalping: Please join us tomorrow in our Live Trade Room

for short-term trades called with exact entry and exit information.

=========================================================

Gold:

Gold is trading inside a massive price wedge that goes back to the beginning of

April, which means we have been trading sideways for a LONG time in terms of

Gold Futures market-personality.

With this market-personality trading sideways, we are going to continue to profit

from this range-bound market with buying opportunities at the lows, and selling

opportunities at the highs.

It will be difficult to predict which of the moves will successfully breakout of this

range, so we wont even try to predict, we will wait for the sellers to fail so we can

buy the lows around the 1284.5 support or wait for the buyers to fail so we can

sell the highs around 1309.2.

Our day trading plan for Gold is to buy the lows and sell the

highs of this range, while staying away from the middle of the

range.

Specifically, we are looking to buy around 1287.6, 1284.8, 1281.4, and 1278.5.

We are looking to sell the highs around 1304.6, 1306.7. 1309.2, and 1312.3.

Short-Term Trading & Scalping: Please join us tomorrow in our Live Trade Room

for short-term trades called with exact entry and exit information.

=========================================================

Mini-Russell :

Mini-Russell is looking mighty-bullish this evening as it pushes higher off the lows

from last week down at 1078.7.

The Mini-Russell is moving to the highs of this price wedge, which means it will be

much easier for us to sell these highs, than try to push it higher. Our plan will be

to stay very selective at the buying opportunities on the way up, but then we will

be much more aggressive selling the highs once we get there later this week.

Our day trading plan for the Mini-Russell is to buy pullbacks

with new higher-highs as we push to the highs of this range.

We need to take our profit at the overhead target around

1117.0 and then again at 1123.0.

The IDEAL buying opportunities will come if/when the price-action pulls back off

these highs into the buy-zone from 1104.5 down to 1101.9. We would LOVE to

see price-action come back into this range so we could look for an opportunity to

‘buy at a discount’.

Later in the week we will be looking for selling opportunities

at the resistance levels overhead, starting with 1123.0, 1128.7,

1130.0 trend-line, and 1135.0 range highs.

Short-Term Trading & Scalping: Please join us tomorrow in our Live Trade Room

for short-term trades called with exact entry and exit information.

=========================================================

Want to trade with us in the Live Trade Room?

Join the Professional Trading Community at SchoolOfTrade.com!

Click here to register for the Free Trial!