DOW JONES FUTURES Range High Sell Same Setup August CPI
I don't know if it will play out exactly like August 7th but any small pop above the flat 200sma I must short as required by my strategy. I don't get to pick and choose. Going over prior data I noticed that August looks very similar to what is happening now. I am not saying that is what is going to happen just an observation.
Anyway, I am short the Asia open with a fill price of 37,888 stop above the high at 105 ticks, targeting the range low at 400 ticks.
I want to be out of this trade before January 11th CPI as it has the potential to blast higher like it did in August. I may even try shorting that pop above the 200sma as well. I think I will place a limit order in between those two red lines depending on how it is setting up and from where.
Here is Chart of August
Here is Chart of January, Today
Anyway, I am short the Asia open with a fill price of 37,888 stop above the high at 105 ticks, targeting the range low at 400 ticks.
I want to be out of this trade before January 11th CPI as it has the potential to blast higher like it did in August. I may even try shorting that pop above the 200sma as well. I think I will place a limit order in between those two red lines depending on how it is setting up and from where.
Here is Chart of August
Here is Chart of January, Today
Comment:
I am not saying this is what will happen but August the CPI kickstarted the down move lower.
Comment:
I can totally see the market performing some sort of complex pullback again like it did in August. If so then the CPI short trade can be taken down to at least the 50% mark. Anyways, all of this is my own pure speculation. As long as I manage my risk I will take each shot.
Comment:
My planned trades for the next couple of days
Trade active:
Moved my stop to B/E after the first spike down. Was up 200 something ticks. I am still fairly confident that that low will be taken and will hold to the 400 point target. If stopped out at B/E then so be it.