Market Analysis – Nasdaq Futures

The Nasdaq futures (NQ) broke out of resistance at 4,441.50 but got promptly rejected at 4,450. That failed breakout look very bearish to me, and I think we could find ourselves going lower in the next few days.

NQ - 360 Minutes - 8 July 2015
NQ – 360 Minutes – 8 July 2015

Below us there is good looking demand at 4,205.75, which is where I’ll be starting to look for a long.

Looking at the weekly chart, with indicators courtesy of Emini-watch, you can see that we put in a pullback to end of trend, with a yellow amateur bar trying to get long at the top. The picture is quite bearish.

NQ - Weekly - 8 July 2015
NQ – Weekly – 8 July 2015

 

I currently have a short order placed at 4,401.75, from a small 2 minute zone.

Trade Idea – $YM_F Short

I don’t often trade the Dow, but there is a nice little rally-base-drop on the 60 minute chart that I like a lot. I’m basically looking to get short at 17,856, with a stop above 17,877 and four targets, as posted on the chart.

YM - 60 Minute - 1 December 2014
YM – 60 Minute – 1 December 2014

On the daily chart we have nice demand at 17,308 where I will look to reverse. If only trading were that simple…

Day Trading Levels – 19 November 2014

The S&P futures made a nice rally-base-drop overnight that I will be looking to sell. The zone is from 2,052.25 – 2,054. Since making the zone it has just been chopping around in the pivot range. I have three targets on that zone, the first three points, the second at the demand level at 2,037.50 & the last at the daily chart demand at 2,030.50 (see image below). It is not uncommon for the futures to sell off first thing these days, only to catch a bid and rally for the rest of the day.

ES - 15 Minute - 19 November 2014
ES – 15 Minute – 19 November 2014

 

Looking at the daily chart, there is a lovely looking demand level at 2,026.75 – 2,030.50 that I will be looking to buy. It is fresh, and also a bear trap as I think there are some stops under 2,031.25.

ES.D - 15 Minute - 19 November 2014
ES.D – 15 Minute – 19 November 2014

Keep warm and have a good day’s trading.