Emini Trading Update – Wednesday 7 May 2014 (13:20)
Well, we’ve run out of time to have a decent break to the downside. The daily charts of the Indices (Dow, S&P500, NASDAQ and Russell) are all about to print cyclical Support and we’ve hardly made any progress to the downside. We’re flirting below the 1,880 level on the Emini and a break above this could be explosive – running a bunch of stops.
The longer we stay in congestion the more the energy builds up as traders take positions. Then when everyone has taken their positions it doesn’t take much volume to bust us through the congestion zone – and then hitting stops just adds fuel to the breakout. Should get exciting.
Good luck with your Emini trading.