Today we roll over to July Soybeans from May. The video below shows a few tips on how to determine when to rollover. Another great resource is the CME Group website.
The fake twitter report from the Associated Press hit some of our stop losses in the E-mini’s and Crude Oil on Tuesday. The Crude Oil loss on our long position was balanced by a profitable short Natural Gas trade. The Associated Press’s Twitter account was hacked and tweeted that there was an explosion at the White House and the President was injured.
Wednesday we had a nice recover on the long side in Crude Oil capturing the move up. Cobra Crude Oil is the trend following strategy that we trade and caught a rare day trade trend in this choppy market environment.
There is a difference between the day trade trend and the trend that can be seen on daily charts. The stock market has had a nice trend based on daily charts but intra-day, there have been narrow ranges and choppiness for most of this year.
SR CounterTrend is one of our favorite trading systems and a countertrend strategy for Crude Oil futures. It trades in the MultiCharts, NinjaTrader, and Tradestation platforms. Last week we highlighted the strategy for rollover from May to June. We like to give the market and our trading system room to capture the big move with basic exit strategies such as a stop loss and end of day exit.
Big profit targets can also help us capture larger moves and prevent giving back more profits than what we use in our profit target. We tested some profit targets for this strategy and using profit targets from $600-$1200 can improve this trading system. See the trading video below for more details on how to do this.
We are short Crude Oil today with the SR CounterTrend Crude Oilgetting short at resistance. Today is also rollover day for Crude Oil so make sure you rollover to the June Crude Oil contract. SR CounterTrend Crude Oil works in Tradestation, NinjaTrader, and MultiCharts and is part of the Nine System Portfolio.
The Portfolio Calculator will be updated today as well. The Portfolio Calculator allows us to test different systems in a Portfolio and even create custom portfolios.
The trend in the stock market is strong as there is very little pull back. The price action looks weak and “toppy” at times and the economic picture seems unclear and suspicious to me. We are still taking long trades with our trading systems to capture some of these moves. Cobra CT Vb E-mini S&P and Gap Fill Rank from our book “Seven Trading Systems for the S&P futures” both went long today and Tick Count Trend captured a little bit yesterday.
The NYSE TICK is probably the most unusual aspect of this market technically speaking. As the market makes new highs, the NYSE TICK has yet to go above 1000 this month.