Looking at the charts, I believe that the markets will continue to do what they’ve done and the trends should continue to go forward. The EUR/USD pair should continue to offer put buying opportunities every time it rallies, and as a result we will look to the short-term charts in order to find put buying opportunities. With that being the case, patience will be crucial but we realize that the marketplace should continue to offer nice profits for those who are comfortable buying puts on short-term charts.
Looking at the S&P 500 it appears that the market simply cannot fall for any length of time, so we look at work term pullbacks as call buying opportunities as volatility should continue to offer plenty of trading opportunities on short-term charts but we also recognize that the market should eventually break out above the 2020 level given enough time.
We like buying the FTSE as well, so therefore we are looking for short-term pullbacks to offer call buying opportunities. The 6400 level below should continue to offer support and is a sign that the market should go much higher. We believe ultimately that the FTSE will go to the 6900 level over the next several weeks, so therefore we are still bullish of this marketplace regardless of the fact that we have pullback drastically in the last few months.
We like buying puts in the gold market if we can stay below the $1200 level on a daily candle. We would wait until the daily close below there in order to risk any trading capital, but we do recognize it as an area of significant support and if it gives way to the sellers, we could have a significant move in the market all the way down to the $1000 handle.