Markets found some footing after decent auction results from Spain and the EFSF. Sentiment was also helped by the German ZEW survey which showed a surprising rise in investor sentiment in December. The US posted a soft retail sales report in November; last week’s sales were also weak. Today we get the results of a 10 year T Note auction at Noon CT and the communique from the one day FOMC meeting will be released at 1:15 PM. OPEC meets tomorrow and the Europeans are looking over their shoulder for action from S&P regarding sovereign debt ratings in the wake of last week’s summit.
March eMini S&P Futures: It’s on a Taylor Trading Technique Buy day signal. I’d look to buy on strength this morning – does it have another downside move before the rally? First support is around the last overnight low at 1233.50.
March eMini NASDAQ Futures: Yesterday was an inside day so there’s the potential for a directional / breakout move today. On the upside there’s trend line resistance at 2314.50 and the Trade or Fade breakout point is 2319.50.
March T Bonds: It’s a Taylor Trading Technique Sell day; yesterday’s high at 142-14 is the Sell day objective. I’m watching a Fibonacci retracement level at 141-20 as a directional pivot point this morning. On a rally there’s trend line resistance at 142-02.
March Euro: It’s a ‘cover breakout sales day” so a Taylor Trading Technique Buy day is anticipated. Yesterday’s low at 1.3177 is the reference price. Watch the 25 Nov. low at 1.3240 as an upside pivot point, last Friday’s low at 1.3291 is the next upside target. On the downside watch the 4 Oct. low at 1.3161.
March Swiss Franc: Buy day. Yesterday’s low at 1.0669is the reference price with the 25 Oct low at 1.0738 as an upside pivot point targeting last Thursday’s low at 1.0784.
March British Pound: Buy day, watch the midpoint of the recent range at 1.5587 as an upside pivot point.
March Canadian Dollar: Buy day. IN addition to yesterdays low I’m also watching a significant Fib level at 9704 as a reference price. 9753 is the first rally objective.
Feb. Gold: It’s a ‘cover breakout sales’ day; yesterday’s low at 1660.30 is the Buy day reference price. Bulls need to regain the 21 Nov. low at 1670.50 to have much hope.
March Silver: Another ‘cover b.o. sales’ day, I’d consider buying another rally over last Thursday’s low at 3142.5.
March Copper: Buy day. There’s a significant Fib level / pivot point at 3.4463, I’d consider buying a move last Friday’s low at 3.4755.
March Sugar: Buy day, there’s also a breakout setup (ID, NR4). I’d consider buying a rally over the current session high at 2360 for starters. On the downside the first breakout point is 2315.
March Coffee: Be alert for a TS+1 reversal – start at 223.15 for buy points.
March Cotton: Another candidate for a TS+1 trade, use the 29 Nov. low at 88.50 for the reference price.
Jan. Crude Oil: I’d consider buying on strength only – watching a Fib level at 98.72.
Jan Natural Gas: There’s a setup for an Oops buy at 3.309.
Feb. Live Cattle: It’s a Sell day; bullish over the 23 Sept. low at 118.47. Trend line resistance at 119.34 is my next rally target.
Jan. Soybeans: Yesterday was a successful TS+1 buy; today is a Sell day. There are Fib levels at 1115-6 then 1121-6.
March Wheat: I’d treat today as a breakout day- consider buying a rally over yesterday’s high at 601-6. 608-0 is the first upside target.
March Corn: I’m treating corn as a breakout setup as well. For the morning session watch trend line resistance at 599-5 (round to 600-0) then last Thursday’s high at 603-2.
Jan. Soymeal: Another b.o. buy candidate? On the upside watch the double bottom level at 281.00 then trend line resistance at 282.60.
This is a sample of the analysis from my Swing Trader’s Insight advisory service. For information on STI, and to sign up for a free two week trial, visit here.
The information contained here includes information from sources believed to be reliable and accurate, but no guarantee is made as to accuracy, nor do they purport to be complete. Opinions are subject to change without notice. Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
