Trading the eminis futures this week may be very interesting and very challenging. We have several major market reports (like the Rate Announcement on the British Pound and Canadian Dollar) plus Crude Oil Inventories on Thursday (instead of the typical Wednesday). These reports can create a very slow moving market prior to the release of the reports and then suddenly, after the announcement high volatile market movement can be anticipated. These are great times to use the binary options for the volatile movements as they can limit your risk exposure while still participating and potentially making profits from the high volatile moves.
Additionally, several of the charts do show that price is at a potential area of support or resistance level, which is typically great areas for entry for longer term trading. However, when you look down to the next timeframe, there is some confusion as the lower timeframes are not confirming the movements that we would anticipate for overbought or oversold market conditions.
Because the lower timeframes are not confirming what we should be seeing. I would wait out the lower timeframe (180 minute chart) before deciding to enter a longer-term position.
Of course, the Resistance or Support levels on the 180 minute could be a nice scalp on a lower timeframe. However, you would want the shorter time period to confirm your entry for the scalp position.
Trading the Eminis Futures
For those that have joined the Binary Options Signal Subscription, the first two videos have been posted so go on over to Gail Mercer Binary Signals and check them out.
Also, we will not be having any annual members sessions this week because due to my mom’s injury. I will keep you advise for next week, when I hope we can get back on schedule for our Tuesday and Wednesday sessions for trading the eminis futures, forex, commodities and binary options.
Have a wonderful trading week!