A Second Gap and Crap for the Emini at the Highs July 31

While today started similarly to July 27th’s “Gap and Collapse,” today we’re seeing a rally off support instead of a violent, vicious engulfing session.

Let’s update our levels and plans for the day.

Here’s today’s updated Emini (@ES) trading levels for your trades:

While we had a bullish gap up, the bears took their swipe as price returned within a very short-term Fibonacci Grid.

Our intraday low is the 61.8% Fibonacci Retracement of the July 27th swing.

We’re monitoring the mini-Fib range between 2,466 and 2,472 and the bullish breakout swing above it or bearish breakdown back toward 2,462 at least.

As today plays out, focus on these levels and the ping-pong play between them.

If you’re new to this style of simple level trading, welcome aboard and keep checking back or get more details beyond just the @ES (stock scans, money flow, education) by becoming a member!

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Corey Rosenbloom, CMT

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Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”


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US Dollar Falls to Key Target Make or Break Support Price July 31

If you’ve been following the US Dollar Index, you may have been surprised with how rapidly price collapsed from the 100 level toward the current major support target of 92.

We’ve been expecting and trading this development in the membership, though it’s occurred much faster than expected, yet here we are at our longer-term price target.

What is it and what’s the quick plan from here?  Let’s take a look.

US Dollar Index DX Support Fibonacci

With the exception of a FAILED BREAKOUT and BULL TRAP above the 100 level, the Dollar remained within a multi-year sideways trading range or rectangle price pattern between 92.00 (where we are now) and the 100 level (where we were only a few months ago).

Price traveled the bearish pathway in a single swing without any stable retracement along the way (compare the prior two bearish pathways in early 2015 and 2016).

We have THREE factors at a confluence support level:

  • The 50% Fibonacci Retracement
  • The rising 200 week Simple Moving Average (red)
  • and of course The Prior Price Support/Reversal Level

As traders, we never know what will happen but instead plan dominant (expected) and alternate (unexpected) theses and then build our trades from there (often playing the departure from a key price level).

We’ll label the dominant thesis as a “Support Bounce” play up away from 92 to play back toward 94.50 and higher and thus hold out for the alternate “Bearish Breakdown” play on a trigger-break beneath 92.00 (targeting 90.00).

Get your trades and plans ready for what happens next!

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Corey Rosenbloom, CMT

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Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”


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Well Look, a New Updated Fibonacci Grid for the Emini July 28

After a series of new all-time highs – at which point we really can’t draw a Fibonacci Grid to target pullbacks – we ARE seeing a decent pullback today to a key “first Fibonacci” target.

Here’s today’s updated Emini (@ES) trading levels for your trades:

A big rally emerged on July 6th off the 2,410 level that sent price surging toward 2,480.

However, a persistent negative momentum (and volume) divergence set the stage for risky conditions for the bulls … and the market snapped yesterday.

The selling (liquidation) was particularly powerful in tech names in the NASDAQ index though the Dow and S&P 500 were spared most of the collapse-style price movement.

Nevertheless, here we are, trading into – and possibly bouncing “up away from” – the 23.6% Fibonacci Pivot just above 2,460.

Use this as your short/term and intraday “bull/bear” pivot price as highlighted.

If you’re new to this style of simple level trading, welcome aboard and keep checking back or get more details beyond just the @ES (stock scans, money flow, education) by becoming a member!

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Corey Rosenbloom, CMT

Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”


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The NASDAQ Snap Pullback July 28

The Big News yesterday was the snap-collapse of the NASDAQ and leading tech companies mid-day.

The result – so far – has been a sharp drop and bounce today off the first Fibonacci Target.

Here’s the NASDAQ – @NQ futures – and the new Fibonacci Grid in Play:

A sudden sell swing swept the market and shocked traders as price collapsed from the 6,000 index level.

When the dust settled, the @NQ collapsed 150 points toward 5,850.

Look closely to see that this level – 5,842 – is the 38.2% Fibonacci Retracement as drawn.

Active traders can continue playing price swings toward and away from this key pivot – and of course the prior high.

If you’re new to this style of simple level trading, welcome aboard and keep checking back or get more details beyond just the @ES (stock scans, money flow, education) by becoming a member!

Afraid to Trade Premium Content and Membership

Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.

Corey Rosenbloom, CMT

Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”


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Creeper Emini Trend to New Highs Revealed July 20

The bulls charge forward, carving out a new all-time high this morning.

This afternoon doesn’t look so bullish – but let’s update our chart and note what’s new.

Here’s today’s updated Emini (@ES) trading levels for your trades:

Bull bull bull!  Breakout breakout breakout!

A “Creeper Trend” emerged after July 12th’s trendline breakout.

We call this a “Positive Feedback Loop” where higher prices CAUSE higher prices – namely from buyers buying or adding to existing positions, playing off greed, and short-sellers/bears buying-to-cover losing positions, playing off fears.

Greed and fear – it’s the core of what drives the market.  Making a quick profit or avoiding a loss.

So here we are, extending a rally higher through “Open air” in an ongoing intraday uptrend in the context – as I keep repeating to members – of a triple timeframe bull market.

Watch your rising moving averages in the chart above and flip cautious if price breaks beneath them soon or remain pro-trend bullish while price creeps above them.

If you’re new to this style of simple level trading, welcome aboard and keep checking back or get more details beyond just the @ES (stock scans, money flow, education) by becoming a member!

Afraid to Trade Premium Content and Membership

Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.

Corey Rosenbloom, CMT

Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”


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