MULTIPLE SIGNALS MEANS A STRONGER TRADE 6/12/13

REVIEW:  last few days

• range bound day = look for an extended break out day
• we saw the BO day run 15 points beyond the SB, +20 from the reversal high
• range bound to break out to swing volatility

Today we had two strong signals that gave us a clue to the swing.  A bull channel  from a prior reversal was still running.  Then:

1. The failed Break Out
2. the  range run
3. shorts took their exits
4. pull back to the EMA and a 50CB test
5. leg 2 likely for the bear 
6. bear TL from 50CB runs for an extended sell day

  [09:13] <CM> a bully gm  from that reversal  ;)

[09:59] <CM> fbo channel run  pb to ema    leg 2 bear seems likely

[10:00] <CM> channel run completed 1631
[10:00] <CM> also the leg2 bear
[10:01] <CM> 1628 is +10 for fbo shorts
[10:01] <CM> 1630 was the +8
[10:05] <CM> larger group around 37-29 to 27

[10:05] <CM> b7 now a 50cb
[10:05] <CM> 30.5    below lower

[10:12] <CM> b9 reversal es
[10:12] <CM> the +10 crowd exited
[10:13] <CM> upper 50cb to test for es  30.25 approx  

[10:28] <CM> and the test b11-12  lower bull channel tl  31.25 area ema hits pa  around 31.5

Strong signals:  an expected leg 2 for the sellers, the EMA held, the 50CB held, the bull channel was broken.

CL

Similar bull channel that had a peak which was the PB short

The levels of interest:

[10:08] <CM> CL still hovering around a 50cb  (96.0)
[10:09] <CM> 95.84 the tl to break  bullish above

[10:44] <CM> cl exits from tl bo(95.84)      95.64  

Then PA hit support (noted)

1[10:54] <CM> cl back in that euro zone s/w channel 95.60-95.30 approx

And the estimate for the target 1.  T2 the HOD challenge.

[11:09] <CM> then you most likely see the bounce off support at 60 as it runs back to 97

Target 2 area hit, followed by similar characteristics of the ES.  PA sold back to the Euro Zone trading zone.