Category Archives: S&P500 Futures Trading

Emini Futures Trading Update- 09Dec2016

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Hello Folks, the S&P500 Emini futures are currently at 2254. The futures have moved from low of 1980 to 2250 this week – that’s 70 points in a week, a very good upmove indeed!

Different traders should have been able to capture different number of points based on the trading strategy recommended to them, but everybody should have made some profit in this upmove.

For example, Small traders with 1-2 contracts were asked to buy the futures at 2234 for target 2247 with stop 2226, and that trade completed within 24 hours, giving 13 points gain. Large traders with 5-10 contracts should have started long positions automatically above 2200 for target 2234 with 2180 as Stop Loss, getting at least 30-35 points gain per contract between 2200 and 2247.

In fact, a similar long trade was suggested as a Bonus Trade on Nov 22, 2016 and hence available to all our website visitors for free. Please see the previous post titled: S&P500 Emini Futures Hit 2200 Today!
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Nov 22, 2016 Bonus Trade: Traders can remain long above 2200 for target 2220-2230 and 2190 as stop loss.
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What happens next? After 70 point non-stop upmove, there can be some pause or profit booking. The Technical target for this upmove is 2260, which is just 6 points away from current price of 2254. For us, there is no new trade currently. There is a sell signal on the hourly charts with potential target of 2232, which could come next week after the US Fed Meeting updates on Interest Rate policy, when markets will try to adjust to the news and volatility can come back. So we will wait and watch for the next opportunity.Thanks.

Emini Futures Trading Update- 17Nov2016

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The S&P500 Emini futures are currently at 2180. The futures are moving up quickly on market open, probably after seeing the US Fed commentary from Janet Yellen, that the rate hike in Dec will be along expected lines (25 bps), which is already factored (supposedly) in the current price.

So there a fresh short-term buy signal this morning above 2175, and the futures are moving up in a very clear way. Traders can stay long above 2173-2175 levels and aim for 2183-2185 levels.

This clear upmove helps up to put a tighter stop because if this upmove reverses, then it can easily fall to 2160 and we don’t want to hold the long anymore in such a case. The Stop Loss for any long position should be at 2172-2173. This is one of the rarer cases when we can put a tight 5 point stop below buying level, because we don’t want to part of any downward reversal from current level.

Please Note: Dec 2016 is the month of US Fed rate hike meeting. Dec 2015 was the most deceptive month of year 2016, when almost every every analysis produced wrong trades and we got lot of whipsaws.

The key learning from Dec 2015 was to be very careful with Dec month around the US Fed meeting. In Dec, many US funds are winding down their positions and market participation could be less (though unlikely this year because of new President factor), which can create larger swings. We must be very cautious. Thanks.

Bonus Trade- Emini Futures Trading- 08Nov2016

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Nov 08, 2016. New York City. US Elections are in progress.
Here is a bonus trade for all our website visitors.
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Buy Emini Futures at 2135 for target 2165 with Stop 2115.
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There are still enough shorts by hedge funds, etc though many have already closed in the last 24 hours giving 60 points gain so far. But the sharp rally indicates there is more upside. Once S&P500 index is above 2134, it is in safe zone, and it will make another attempt for 2200. Thanks.

Bonus Trade- Emini Futures Trading- 04Nov2016

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Trade Update: Nov 08, 2016. Target 2140 was hit today, giving 60 points gain on this trade. Cheers to Hillary Clinton!

Following is the trade sent to our subscribers on Friday, Nov 04, 2016.
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Hello Folks, the S&P500 Emini futures are at 2080.
Here is our next trade. Please Note: This is only for traders who are
trading with 5-10 contracts. This trade can be done with 1-2 contracts.

Trade#4 of Nov 2016
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Buy Emini Futures at/above 2080 for target 2140 with Stop 2050.
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Please do this trade only if you can enter the stop loss in your system.
Manual stop loss won’t work in this case because the market will move rapidly in the coming 2-3 days.

There are a large number of shorts by hedge funds, etc that will want to get out in a hurry once positive news comes, so you will see big spikes. Once S&P500 index is above 2134, it is in safe zone, and it will make another attempt for 2200. Thanks.

Emini Futures Trading Analysis – 21Oct2016

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sp500-emini-futures-daily-chart-analysis-21oct2016

The above chart clearly shows a strong support zone between 2100-2120 for the S&P500 futures. They have bounced back from this support zone twice in recent days, so we can expect an upmove of 40-50 points from the support zone of 2100-2120 before any fresh selling pressure gets applied by the short sellers. So potential upside target is 2150-2160. We can be sure that there short sellers because many fund managers will try to hedge their equity portfolios by shorting the S&P500 Futures. And then there will be some naked short sellers who are convinced of lower targets after US Elections in November 2016. Therefore, we have to book trading profits in the 2150-2160 range without becoming greedy. A real long trade with high conviction can start only above 2200, which will then involve massive short covering and immediate target in that case would be 2240. We will discuss that trade when we get there. There are many roadblocks before that, because the daily charts are showing that medium-term market trend is down until 2180 is crossed. Continue reading →