Tradable Patterns

Trading liquid global markets

S&P500 Inches Above 2k

VIX (CFE VIX Sep14) Weekly/Daily/4hr/Hourly/30min/5min

The VIX is now much closer to offering an attractive short-term long entry. It has in the last week repeatedly tested its July low, and is currently exhibiting a rising daily MACD histogram which should result in the MACD green line flattening soon. Its daily Stochastics is oversold and the 4hr MACD and Stochastics both point higher now. I am long one lot at 13.4 with a resting limit sell order at 14.

VIX (Wkly/Dly/4hr/Hrly/30min/5min) Charts

S&P500 (CME ES Sep14) Weekly/Daily/4hr/Hourly/30min/5min

The ES is increasingly tiring and seeing a bit of profittaking now that the underlying spot index has finally cracked the 2k level. Importantly, it is sitting at ascending wedge support. I have a short opening sell limit for one lot at 1995.

S&P500 (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Nasdaq100 (CME NQ Sep14) Weekly/Daily/4hr/Hourly/30min/5min

The NQ’s looking increasingly vulnerable to near-term profittaking as well, sitting at channel support. With its relative strength over ES in the last few weeks, it has not experienced a single down day in 9. I have a short opening sell limit for 4067.

Nasdaq100 (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Silver (CME SI Sep14) Weekly/Daily/4hr/Hourly/30min/5min

SI continues becoming closer to an interim bottom as seen by the flattish daily MACD and RSI, and rising daily MACD histogram. I have a long opening buy limit at 19.35 and 19.375.

Silver (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Gold (CME GC Dec14) Weekly/Daily/4hr/Hourly/30min/5min

I’m less drawn to GC today as it continues to have a bit of gap between its current level and triangle support as seen in the weekly chart. Note how much more oversold SI’s daily chart appears compared to GC’s. With GC’s daily MACD still pointing down, I will remain flat GC today.

Gold (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Wheat (CME ZW Sep14) Weekly/Daily/4hr/Hourly/30min/5min

ZW has moved down our trade setup rankings along with the other agris and softs for now, as they’re all presenting rather mixed near-term profiles. Although the 4hr and hourly charts look somewhat bullish, along with the weekly MACD, the weekly RSI and Stochastics are vulnerable to a slight drop. With the mixed signals, I will remain flat ZW today.

Wheat (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Corn (CME ZC Dec14) Weekly/Daily/4hr/Hourly/30min/5min

ZC is a bit mixed near-term, continuing the bottoming process that’s spanned over a month now. I have an opening buy limit sitting at 366 and will look to exit in the 373-375 range.

Corn (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Cotton (ICE CT Dec14) Weekly/Daily/4hr/Hourly/30min/5min

CT provided a nice intraday trading opportunity yesterday on the short side right before the intraday move down to .65, followed by a long opportunity. I missed the quick rebound off of .65, and will wait for CT to consolidate a bit before positioning for further gains.

Cotton (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Arabica Coffee (ICE KC Dec14) Weekly/Daily/4hr/Hourly/30min/5min

KC provided two nice moves yesterday for intraday trades. After initial weakness, KC jumped higher from around 1.86 to 1.9. It then formed what appeared to be a triangle, seemingly appearing to be preparing for a higher move up, only to reverse late in the session to the downside. Today, I will continue to try buying in the 1.84-1.87 range and sell in the 1.88-1.91 range. Tight stops of half a penny or so will be employed given the continued daily downward sloping MACD deepening in its negative histogram. Note the increasingly bullish daily Stochastics.

Coffee (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Netflix (NFLX) Weekly/Daily/4hr/Hourly/30min/5min

Although I’m flat NFLX after having entered my short prematurely last week and exited yesterday, I will continue watching it for confirmation of a double top. With ongoing near-term bullish momentum, I’ll remain flat for now.

Netflix (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Tesla (TSLA) Weekly/Daily/4hr/Hourly/30min/5min

TSLA has a similar near-term profile to NFLX, with both close to their prior all-time high. As with NFLX, I was early in entering a short last week and closed it yesterday. I will continue watching for a double top confirmation.

Tesla (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Natural Gas (CME NG Sep14) Weekly/Daily/4hr/Hourly/30min/5min

NG appears ready for some near-term profittaking after the gains over the last few sessions. I will remain flat today.

Natural Gas (Wkly/Dly/4hr/Hrly/30min/5min) Charts

BUXL (Eurex GBX Sep14) Weekly/Daily/4hr/Hourly/30min/5min

The GBX is going to be a bit off my radar until it hits its all-time April 2012 high. I will then watch for its weekly MACD to stop rising and begin falling, and for its weekly RSI and Stochastics to begin rolling over.

Buxl (Wkly/Dly/4hr/Hrly/30min/5min) Charts

Note the daily reshuffling of the charts. As mentioned, they’re ordered by how favourable the risk:reward of the trade idea appears based on my analysis for each day.

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