Today we rolled over to July Crude Oil. The symbol that we are using is CLN13. Cobra Crude Oil, which is part of our Nine System Portfolio, has not done much this week. We will see if we repeat last Friday’s move. We are long today with a new strategy that will be out in our next book.
The Stochastic Divergence strategy that we talked about for our trading strategy this week is short near the highs. Also Insiders Volume on the E-mini S&P continues to continues to increase since the open. Time will tell how this week plays out. Yesterday’s afternoon sell did not even take out Wednesday’s low. We currently have 12 consecutive days in a row that we have not taken out the previous day’s low.
The insiders started selling yesterday afternoon when the market broke 1650, today when the market was making new highs, the Insiders, again started showing some net selling while the small traders where buying. The video below shows a live short trade and analysis for our Insiders Volume Indicator.
Did you know that the market has not taken out its previous day’s low all month? And the NYSE TICK has only had one day all month where it went above +1000? Interesting market dynamics.
One of the ways we like to trade the Japanese Yen, Swiss Franc, and Canadian Dollar futures is with SR CounterTrend. This is a different version that on the E-mini S&P. We automate trading these markets from 2 am until 1 pm EST. The last two days have provided some nice short trades in the Japanese Yen.
It is tempting to call a bottom in the Yen. Our strategy takes short term countertrend trades in the direction of the trend. We are out by the end of the day. These strategies will be on the website soon and available in Tradestation, MultiCharts, and NinjaTrader. Email us if you are interested in these strategies.
One of the ways we like to track the “Insiders” is to take a look at the difference in Up Volume and Down Volume on the day for trades where the contract total is larger than 50 contracts. They are tracking you, you should track them as well.
In the video below, we see how the Up Volume has exceeded Down Volume on the day for trade sizes larger than 50 contracts since 10:08 am EST and prices of 1626.50. Since then, we have had a five point move higher. We don’t like to short the market when there is increasing Up Volume over Down Volume for trades over 50 contracts.
In our webinar yesterday we highlighted our Cobra Gold trading system. Today we captured a short near the lows in today’s big Gold sell-off. Coffee is another market to short today. The Soft products that include Coffee, Cotton, Sugar, and Cocoa trade on the ICE exchange and can provide some diversity to the financial futures. Many markets selling across the board today while stocks continue to trade higher.