Tomorrows News:
10:00 am – Business Inventories
10:30 Natural Gas Inventories
13:00 30 year bond auction
The Q’s closed today in a 5 minute downtrend and I would expect some follow through tomorrow. We also have an M top forming on the daily chart of the Q’s which is bearish and could mean that we are going lower from here. For tomorrow, If we gap up and stay below the 66.10 area, I would be looking to take the first 5 minute sell setup that happens at or near 10 am reversal time. If we open neutral or gap lower and break today’s low, I would look to take the first 5 minute sell or base break down that occurs. Lower targets are 65.50, 65.00 and 64.50 areas on the low side. I would not look for a long until the 5 minute down trend is over or something strange happens like we gap to the 66.30 area and rally, then the first pull back would be buy able.
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Longs:
C – Daily Buy Triggered
HOG – Daily break out
JCP – Money Bar
LOW – Daily buy Watch
MS – 123 pattern
TOL – W bottom
VZ – Break out
ABX – W bottom
Shorts:
LLY – Gap continuation
NOV – Break down
WAG – Climatic top
XLNX – Climatic top