Pre-Bell Futures Day Trading Strategy – 26 Nov 2024
1. ES=F (E-mini S&P 500 Futures)
Market Overview: ES=F shows moderate bullish momentum with a 13.75-point increase pre-market. Strong volume suggests active participation.
Technical Analysis:
Support Levels: 5976 (pre-market low), 5960.
Resistance Levels: 6023 (pre-market high), 6050.
Trend Indicators: Upward trend confirmed by higher highs and higher lows on the daily chart.
Volatility Insights: ATR indicates moderate volatility; significant movement possible at the open.
Bullish Scenario: Long at 6025 with a target of 6050, stop-loss at 6010.
Bearish Scenario: Short below 5975 with a target of 5950, stop-loss at 5990.
Trade Rating: High probability (70%) due to market sentiment.
2. NQ=F (E-mini Nasdaq Futures)
Market Overview: NQ=F exhibits strong upward momentum, gaining 65.25 points. Tech-heavy equities are rebounding.
Technical Analysis:
Support Levels: 20755 (pre-market low), 20700.
Resistance Levels: 20955 (pre-market high), 21000.
Trend Indicators: Upward trend driven by technology sector strength.
Volatility Insights: High volatility likely; consider scaling into positions.
Bullish Scenario: Long above 20950 with a target of 21050, stop-loss at 20900.
Bearish Scenario: Short below 20800 with a target of 20700, stop-loss at 20850.
Trade Rating: Very high probability (80%) due to strong momentum.
3. YM=F (Dow Jones Futures)
Market Overview: YM=F shows weakness, down 146 points. Dow is pressured by declining industrials.
Technical Analysis:
Support Levels: 44600, 44500.
Resistance Levels: 44900, 45000.
Trend Indicators: Downward bias with consistent lower highs.
Volatility Insights: Moderate.
Bullish Scenario: Long at 44700 with a target of 44900, stop-loss at 44600.
Bearish Scenario: Short below 44500 with a target of 44350, stop-loss at 44600.
Trade Rating: Moderate probability (60%) due to mixed sentiment.
4. RTY=F (Russell 2000 Futures)
Market Overview: RTY=F is slightly bearish, losing 8.5 points. Small caps are lagging.
Technical Analysis:
Support Levels: 2418, 2400.
Resistance Levels: 2450, 2460.
Trend Indicators: Sideways to bearish.
Volatility Insights: Low.
Bullish Scenario: Long above 2450 with a target of 2470, stop-loss at 2430.
Bearish Scenario: Short below 2415 with a target of 2400, stop-loss at 2430.
Trade Rating: Low probability (50%) due to unclear direction.
5. GC=F (Gold Futures)
Market Overview: GC=F rises 12.8 points amid dollar weakening. Gold benefits from safe-haven demand.
Technical Analysis:
Support Levels: 2605, 2590.
Resistance Levels: 2640, 2650.
Trend Indicators: Strong bullish trend.
Volatility Insights: High due to geopolitical risks.
Bullish Scenario: Long at 2635 with a target of 2655, stop-loss at 2625.
Bearish Scenario: Short below 2610 with a target of 2600, stop-loss at 2620.
Trade Rating: Very high probability (85%) due to fundamental alignment.
6. CL=F (Crude Oil Futures)
Market Overview: CL=F shows slight gains, up 0.53 points. Energy markets stable with moderate inventory levels.
Technical Analysis:
Support Levels: 68.50, 68.00.
Resistance Levels: 69.70, 70.00.
Trend Indicators: Neutral; range-bound trading likely.
Volatility Insights: Low; watch for inventory data.
Bullish Scenario: Long above 69.50 with a target of 70.00, stop-loss at 69.00.
Bearish Scenario: Short below 68.50 with a target of 68.00, stop-loss at 69.00.
Trade Rating: Moderate probability (60%).
7. ZN=F (10-Year Treasury Note Futures)
Market Overview: ZN=F declines slightly, down 0.16. Treasury yields are inching higher.
Technical Analysis:
Support Levels: 110.25, 110.00.
Resistance Levels: 110.50, 110.75.
Trend Indicators: Bearish bias as yields rise.
Volatility Insights: Moderate.
Bullish Scenario: Long above 110.60 with a target of 110.80, stop-loss at 110.40.
Bearish Scenario: Short below 110.20 with a target of 110.00, stop-loss at 110.40.
Trade Rating: Moderate probability (55%).
8. ZB=F (30-Year Treasury Bond Futures)
Market Overview: ZB=F declines by 0.41 points as long-term yields rise.
Technical Analysis:
Support Levels: 117.70, 117.50.
Resistance Levels: 118.00, 118.20.
Trend Indicators: Bearish.
Volatility Insights: High sensitivity to rate news.
Bullish Scenario: Long above 118.10 with a target of 118.30, stop-loss at 117.90.
Bearish Scenario: Short below 117.70 with a target of 117.50, stop-loss at 117.90.
Trade Rating: Moderate probability (60%).
Recommendations
Best Contracts to Trade:
GC=F (Gold Futures): High probability and alignment with fundamentals.
NQ=F (Nasdaq Futures): Strong bullish momentum.
ES=F (S&P 500 Futures): Reliable technical setup.
Contracts to Avoid:
RTY=F (Russell 2000 Futures): Low conviction trend.
CL=F (Crude Oil Futures): Range-bound with limited upside.
Overall Take Profit and Stop Loss
Take Profit: Aim for a 2:1 reward-to-risk ratio on all trades.
Stop Loss: Set tight stops to limit losses, with no more than 1% of your account value at risk per trade.
Prepare for volatility spikes and execute cautiously. Happy trading!
Day Trading Strategy Disclaimer
ALWAYS DO YOUR OWN ANALYSIS. NO ONE CAN PREDICT THE STOCK MARKET, BUT YOU CAN MAKE INFORMED DECISIONS TO INCREASE YOUR CHANCES. IN DAY TRADING: MINDSET AND ATTITUDE BEATS SKILL. CHOOSE THE SCENARIO THAT MEETS YOUR RISK AND STRATEGY AND SECURE THE WIN. NOT EVERYDAY IS A TRADING DAY AND ALWAYS LIVE TO TRADE ANOTHER DAY
The content provided in this blog, including day trading strategies, technical analysis, and market insights, is for informational and educational purposes only. The information should not be construed as financial advice, investment recommendations, or an endorsement of any trading strategy. Trading futures, options, and other financial instruments carries a high level of risk and may not be suitable for all investors. Past performance is not indicative of future results.
You should thoroughly evaluate your financial situation and risk tolerance before engaging in any trading activities. It is advised that you consult with a licensed financial advisor or professional who can provide personalized investment advice tailored to your individual needs.
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Risk Warning: Leveraged trading can result in losses that exceed your initial investment. Please trade responsibly.
