On Monday morning, sensing that a multi pronged strategy was needed, I presented you with four distinct scenarios which I separated into convenient color codes according to their respective trading directions. After a brief spike up we were treated to Soylent Orange which quickly and somewhat unexpectedly turned into Soylent Red late last night. To repeat, what we were waiting for was a quick drop below the green diagonal, followed by a retest of ES 2140.
In the end it’s all about the money and more specifically what happens on the currency side. Although Forex trading has effectively been turned into a small sideshow in the United States, due to stringent Dodd Frank regulation that mainly affected retail traders, it would be a mistake to not pay attention to what’s happening on the currency side. And what I’m seeing across the board, on a long term basis, is rather disconcerting.
Our previous gold campaign ended yesterday and so did yours if you followed my advice to advance your trailing stop to somewhere below 1355. However if you did not you then may want to check your trading account as the non-farm payroll numbers just dragged it to the woodshed for an extended session of rectal probing.
Not sure what exactly is cooking this morning but I’m seeing setups crawling out of the woodwork. Time to hone our trapping skills! I’ve taken the liberty to post an instructional video that should get you going. I’m not sure how twerking and dub stepping fits into the hunting procedure but being a city boy I gladly yield to the experts.