The S&P500 futures have done a breakout today after last 3 days of consolidation, and the current upside target is 3230. Traders can buy any corrections, and at market price, with 3190 as Stop loss. The current support levels are at 3195-3200 and 3170-3180. The S&P500 trend is up, and we should only look at taking suitable long trades.
Hello Folks, the S&P500 futures are currently at 3190.00
Today’s Range (so far): 3177.00 – 3191.25
The futures have moved up on positive news regarding US-China trade deal. However, the futures are now in overbought zone, and we can see quick 20-30 point correction on any negative news. The resistance at 3180 has been crossed but really tested, so the current setup does not have a clean trade. So there is no new General Trade currently. We have to wait and watch.
The S&P500 trend is clearly up, and buying on correction is the profitable S&P500 futures trading strategy, while the futures are above 3000. The immediate support is at 3120-3140 level, and upside target is 3220, which is 30 points above current price of 3190. The S&P500 futures are facing stalling momentum, and they may try to test 3150-3160 levels by next week.
Traders with 10+ contracts: Here is an Optional Trade with 1-2 contracts.
“Buy at 3190 for Target 3210 with Stop loss 3170”
This trade has 50-50 chance of success and its not suitable for all traders.
At the start of year 2019, when the futures were near 2500, we had given our yearly target as 3000, which came long ago, and we have made good gains this year using 3000 as constant upside target, buying all corrections towards 2800. Now, we should remain cautious at current level of 3190. Thanks.
Hello Folks, the S&P500 futures have closed at 3134.50
Today’s Range: 3132.75 – 3149.25
The futures moved up rapidly on Friday, Dec 6th, from 3120 to 3150 and the quick move made it difficult to create a suitable trade and share with the trading group. By the time the futures were at 3130, the trade was not suitable anymore because stop loss would still have to be 3100.
There is a strong resistance at 3140-3150 level, and we have to see how the futures navigate it. Above 3150, the next target is 3180, and we will try to capture a part of that upmove if it happens.
The candlestick pattern of last week made a bullish recovery, but it leaves a lot of volatility for following week, which is this week. The futures can easily lose all the ground till 3070 (the low point of last week) if they start trading below 3140. The entire path between 3070 to 3150 is open for rapid moves this week. While the futures are currently at 3140, they can easily do down to 3100-3120, or go up to 3180 from current level. So 30-50 point upmove or 30 point downmove is possible, which makes it difficult to create a reliable trade with tight stop loss. Traders can buy between 3100-3120 for Target 3150, with 10-20 point stop loss. Last week was volatile, and this week may be similar! Continue reading
The S&P500 futures have made a sharp recovery from lower levels of this week, and they are back at 3150, recovering all the lost ground earlier this week. This creates an interesting but high-risk setup for next week. If the futures start trading below 3140, then can rapidly lose ground again and fall back to 3100-3120. On the other hand, rapid gains can come above 3150, and our target for such an upmove is 3180.
Therefore, Traders should take profits at currently level of 3148-3150 and wait for clarity on Monday, and then restart the long trades if the futures are moving up. The absolute stop loss on all long trades is now at 3113. Thanks.
Hello Folks, the S&P500 futures are currently at 3116.00
Today’s Range (so far): 3081.75 – 3117.25
The futures have recovered more than 40 points from their low yesterday at 3070, and they also have successfully tested the key support level of 3070-3075 yesterday. But we may see one more testing of the 3080 support level, before any real upmove again, because it is very important to be sure that this 3070-3080 support level is intact.
If 3070 support holds, then the futures bounce back above 3100 rapidly, and the next major target is 3180, with major resistance at 3140. So all long trades should be closed around 3140, and one can start new long trades above 3155-3160 to be sure that that the 3140 resistance level has been taken out. Continue reading