The Pattern Trapper Blog

Monday's trading in the S&P 500 developed exactly as forecast in Friday evening's post, resulting in some very profitable opportunities. Register to get these forecasts delivered directly to your in-box at www.PatternTrapper.com.

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The September S&P E-Mini contract has fired 90-10 Low Continuation & Reversal, High Breakout Continuation Setup, and Momentum Pinball Buy signals for today's trading. The 90-10 Low Continuation & Reversal signal tells us to look for morning follow through on the weak close, but to expect a likely reversal once the initial move has bottomed. The High Breakout Continuation Setup signal implies significant upside IF Friday's high happens to be taken out. The Momentum Pinball Buy signal suggests that we'd want to consider longs if price is strong enough to break the first hour high. Cycle Indicators (chart at right) appear as if a short term cyclical high has just been marked, but the more immediate trend is to higher prices. Odds favor continued downside in today's early trading. Sell the break of Friday's 1357.00 low, or even earlier if price demonstrates weakness below the 1362.50 level of the Daily Pivot. But stand prepared to exit or even reverse if we get appropriate price reversal patterns and/or Oscillator Divergence near important support levels. Our Normal Low Range Projection level 1350.75 or the Extended Low Range Projection level of 1345.00 would be likely areas for such a reversal to take place, as would a test and failure of Friday's low. The Momentum Pinball Buy signal, on the other hand, suggests we consider the long side if the first hour's high happens to be broken to the upside.

 

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The Pattern Trapper Market Update Blog is a companion piece to the FREE! Daily Pattern Signals Report.

For maximum benefit be sure to check out the On-Line Course.

The September S&P E-Mini S&P contract has fired 90-10 High Continuation & Reversal, Low Breakout Continuation Setup, and Momentum Pinball Sell signals for today's trading. The 90-10 High Continuation & Reversal signal is telling us to look for morning follow through on the strong close, but to expect a likely reversal once the initial move has topped. The Low Breakout Continuation Setup signal implies significant downside IF Friday's low happens to be taken out. The Momentum Pinball Sell signal suggests that IF the first hour's low in today's trading is broken, the market is telling us something completely different than originally assessed, and we'd want to consider a short position. Cycle Indicators (chart at right) appear as if a short term cyclical low has recently been marked. Odds favor continued upside in today's early trading. Buy the break of Friday's 1353.25 high, or even earlier if price can demonstrate strength above 1344.50 level of the Daily Pivot. But stand prepared to exit or even reverse if we get appropriate price reversal patterns and/or Oscillator Divergence near important resistance levels. Our Normal High Range Projection level of 1364.00 or the Extended High Range Projection level of 1373.25 would be likely areas for such a reversal to take place, as would a test and failure of Friday's high.

 

Forward this to friends and colleagues!     Disclaimer: trading involves significant risk and is not suitable for everyone.

The Pattern Trapper Market Update Blog is a companion piece to the FREE! Daily Pattern Signals Report.

For maximum benefit be sure to check out the On-Line Course.

The US Dollar/Japanese Yen forex pair has fired Wide Range Upside Reversal, 90-10 High Continuation, and Momentum Pinball Sell signals for today's trading. The Wide Range Upside Reversal signal tells us that yesterday's action likely marked a significant intermediate term turning point with more upside to follow. The 90-10 High Continuation signal tells us that the day's late day move higher is likely to continue on into today. The Momentum Pinball Sell signal suggests that IF the first hour's low happens to be broken, the market is telling us something completely different than originally assessed, and we'd want to consider a short position. Cycle Indicators (chart at right) appear as if a short term cyclical low has just been marked. Odds favor further upside in today's early trading. Buy the break of yesterday's 79.786 high with a stop just under the 79.553 level of today's Daily Pivot. Price strength above the DP may provide clues for earlier entry. The Momentum Pinball Sell signal, on the other hand, suggests we consider the short side if the first hour's low happens to be broken to the downside.

 

Forward this to friends and colleagues!     Disclaimer: trading involves significant risk and is not suitable for everyone.

The Pattern Trapper Market Update Blog is a companion piece to the FREE! Daily Pattern Signals Report.

For maximum benefit be sure to check out the On-Line Course.

The August Gold contract has fired 90-10 High Continuation, Low Breakout Continuation Setup, and Momentum Pinball Sell signals for today's trading. The 90-10 High Continuation signal is fired when the day closes within the top 10% of the day's range. It tells us that yesterday's late day move higher is likely to continue on into today. The Low Breakout Continuation Setup signal implies significant downside IF yesterday's low happens to be taken out. The Momentum Pinball Sell signal also suggests that IF the first hour's low is broken, the market is suggesting something entirely different than indicated by the 90-10, and we'd want to be thinking on the short side. Cycle Indicators (chart at right) have moved into a region where short term cyclical lows often form. Initial odds favor continued upside in today's early trading. Buy the break of yesterday's 1589.0 high with a stop just below the 1581.4 level of the Daily Pivot. Price strength above the DP may provide clues for earlier entry. The Momentum Pinball Sell signal, on the other hand, suggests we consider the short side if the first hour's low happens to be broken to the downside.

 

Forward this to friends and colleagues!     Disclaimer: trading involves significant risk and is not suitable for everyone.

The Pattern Trapper Market Update Blog is a companion piece to the FREE! Daily Pattern Signals Report.

For maximum benefit be sure to check out the On-Line Course.

The September S&P 500 E-Mini contract has fired 90-10 Low Continuation & Reversal and Momentum Pinball Buy signals for today's trading. The 90-10 Low Continuation & Reversal signal tells us to look for morning follow through on the weak close, but to expect a likely reversal once the initial move has bottomed. The Momentum Pinball Buy signal suggests that we'd want to consider longs if price is strong enough to break the first hour high. Cycle Indicators (chart at right) appear as if a short term cyclical top has just been marked, and the larger trend is to lower prices. Odds favor continued downside in today's early trading. Sell the break of yesterday's 1317.50 low, or even earlier if price demonstrates weakness below the 1329.75 level of the Daily Pivot. But stand prepared to exit or even reverse if we get appropriate price reversal patterns and/or Oscillator Divergence near important support levels. Our Normal Low Range Projection level of 1300.50 or the Extended Low Range Projection level of 1286.75 would be likely areas for such a reversal to take place, as would a test and failure of yesterday's low. The Momentum Pinball Buy signal tells us we can consider the long side even sooner if the first hour's high happens to be broken to the upside. NOTE: September Dow Jones, Nasdaq 100, and Russell 2000 e-mini contracts have all fired either the same or very similar signals as the ES. This means that they can all be traded in very similar fashion.

 

Forward this to friends and colleagues!     Disclaimer: trading involves significant risk and is not suitable for everyone.

The Pattern Trapper Market Update Blog is a companion piece to the FREE! Daily Pattern Signals Report.

For maximum benefit be sure to check out the On-Line Course.

The September S&P 500 E-Mini contract has fired NR7, 2 Day ROC Buy, and 90-10 High Continuation & Reversal signals for today's trading. The NR7 signal tells us to expect range expansion and a pickup in volatility. The 2 Day ROC Buy signal implies that Monday's principle trade direction should be to the upside. The 90-10 High Continuation & Reversal signal tells us to look for morning follow through on the strong close, but to expect a likely reversal once the initial move has topped. Cycle Indicators (chart at right) have moved into a region where short term cyclical tops often form, and the larger trend is to lower prices. Although odds seem to favor the upside, the NR7 signal is telling us to stand prepared for a large impulse move in either direction. Trade the break of Friday's 1338.50 high to 1324.50 low range with a stop and reverse on the opposite side as the entry. Price action relative to today's 1333.50 Daily Pivot level may provide clues for earlier entry. If the initial break is to the upside the 90-10 High Continuation & Reversal signal is telling us to stand prepared to exit or even reverse if we get appropriate price reversal patterns and/or Oscillator Divergence near important resistance levels. Our Normal High Range Projection level of 1344.50 or the Extended High Range Projection level of 1349.75 would be likely areas for such a reversal to take place.

 

Forward this to friends and colleagues!     Disclaimer: trading involves significant risk and is not suitable for everyone.