RT Swing Trader Blog | News
17Sep/100

Reversal Dates for the week of September 20 – September 24

Monday – Corn, Silver, Copper

Tuesday – Wheat, Soybeans, Bean oil, S&P, Dow Jones, British pound

Wednesday – Coffee

Thursday – Cattle, Corn, Eurocurrency

Friday – Coffee

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Swing Trading with Market Timing intelligence

The most important element of a successful swing trading approach is market timing of both entry and exits. In this educational newsletter, you will learn to predict, identify, and trade short-term swing trading opportunities using a unique swing trading “market timing intelligence” methodology. Veteran futures trader and best-selling author John Crane combines his highly acclaimed “Action/Reaction” market timing methods with a selective set of Elliott Wave and Fibonacci principles to analyze the market action and project future market swings.

Swing trading and Reversal dates

Every good trading signal needs three key elements to be considered a successful swing-trading signal, Time, Price and Pattern. When these three come together, great things can happen. If you can improve your timing or price entry, it can enhance any trading method.  That is what the Reversal Dates can do for you. They will identify when the market should react, and at what price level the market needs to be for this to happen. They will even tell you what the market has to do to confirm the trade.  The first thing I do is, identify Time.

TIME

The Reversal Date Indicator consists of three parts.  The first is Time. This is identified by the projected Reversal date and will indicate which markets are ready to react and when the reaction should occur. The most common misconception about the Reversal dates is the idea that the market must reverse on every signal date, which is not true.  Instead, the Reversal Date itself helps to identify the market’s reaction. A high percentage of the time, the market will reverse the current trend, but not always. A smaller percentage of the time, the market will form a “continuation pattern,” indicating the market will likely continue in the same direction as the prevailing trend. Often this will occur during a consolidation or after a very small correction.

PRICE

Once the Reversal date has been identified, the next thing to do is monitor the price. If the market is making a new high/low, or if it is trading inside a buy/sell window, then the second component of a trade signal is in place. You now have Time and Price working together. For most traders, that will be enough, but the Reversal Date Indicator takes it one step further.

PATTERN

After extensive research into price patterns, I have identified specific price patterns, which occur during reversal timing. These patterns can be used to confirm the market reversals or market continuations. When and only when, these three components are all working together, will there be a swing trade signal generated.

For more information on our Reversal Date Indicator, or should you have a specific market question, please call us at 1-800-521-0705

Check it out! View your account statements including real time account balances by going to www.tradersnetwork.com, logging in, and clicking on “View your account equity”.

P.S. If you would like us to cover a market that we’re not currently covering, or should you wish to be taken off this e-mail newsletter, e-mail me at trader@tradersnetwork.com or give us a call at 1-800-521-0705

Traders Market Views is a product of Traders Network and all statements herein reflect Traders Network’s market research.  Traders Network and/or its principals, brokers and employees may or may not have established positions in part or all of the markets herein mentioned.  It is possible that some of those positions, if any, are in direct conflict with the market commentary herewith.

THE RISK OF LOSS IN TRADING COMMODITY CONTRACTS CAN BE SUBSTANTIAL.  YOU SHOULD, THEREFORE, CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION.  HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER OR OVER-COMPENSATED FOR THE IMPACT IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT.NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES.

Copyright © 2010 Traders Network Inc. All rights reserved

ALL RIGHTS RESERVED. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopied, recorded or otherwise, without prior written permission from the author.

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20Aug/100

Swing Trade Strategies – Learn to read between the lines. [chart]

Dr. Alan Andrews stated that when a median line (the white center line) is drawn, from the most recent swings, the price should return to the medain line 80% of the time. This median line can be used as a target objective where the market will often form a new pivot. October Cattle first tested the median line  on July 21 when it traded to a high of 95.02. After a second test, on the following day, Cattle reversed, forming a high pivot and dropped to the 20-day EMA, trading as low as 93.25 on July 29. So far, the market had been following price behavior described by Dr. Alan Andrews.

He also stated that when a price returns to the median line the price will often form several small swings around the median line where it will touch or cross the line more than once before moving on. October Cattle tested the median line for the second time on August 2 and crossed above the line on August 4, only to back off and drop below the line on August 10. So far, so good. The market is behaving according to the plan. But, this is where it gets interesting.  Each time Cattle crossed above the ascending median line, the market would pull back and close near the median. It was not until August 18 when Cattle posted a strong close with good separation from the median line. This was another  "market tell" that Cattle are ready to resume the upward trend with a new target objective at the upper parallel line. Remember, price will continue to move towards the nearest line 80% of the line. In this case the upper parallel line is the new objective.

Understanding market behavior can and will alert you to trading opportunities and allow you to be aware if the market is behaving correctly so you can take advantage of this behavior. It is all between the lines. Learn more about using 'action-reaction" lines and swing trading strategies at www.tradersnetwork.com.

By John Crane

October Live Cattle
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30Jul/100

Reversal dates for the week of August 2 – August 6

Monday – Hogs, Wheat, Soybeans, British pound, Coffee

Tuesday – Canadian dollar, Sugar

Wednesday – RBOB gas, Gold, Treasury bonds

Thursday – Crude oil

Friday – Natural gas, Heating oil

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9Jul/100

Reversal Dates for the week of July 12 – July 16.

Monday – Cattle, Soybeans, Gold, Cocoa, Coffee

Tuesday – S&P, British pound

Wednesday -

Thursday – Crude oil, Natural gas, Treasury bonds, Dow Jones, Australian dollar, Coffee

Friday – Cocoa

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20May/101

Swing trading software – How will Soybeans react after reaching projected target?

Twenty days after posting a high near the April 21st reversal date, July Soybeans reached the up-sloping reaction target line. The daily low of $9.31 tested the reaction line before finding support and rebounding to unchanged. This completes the five-wave cycle as the Soybeans reach the target objective–projected two weeks in advance–on the projected reversal date. While the long-term trend is still bearish, the short-term cycle suggests a possible corrective rebound from this level. I’ll have current updates in the TMV Swing Trade report.

July Soybeans

July Soybeans

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7May/100

Swing Trading Strategies by John Crane – Reversal date pinpoint reversal in Swiss Franc. [chart]

The reverse-forward count, from the TR swing pattern (March 17 – April 4), was used to project a future reversal swing date on May 6th. The “action-reaction” line also forecast a price target objective at the intersection of the down-sloping median line and the up-sloping reaction line (8920). The Swiss franc  breached the target objective on the predicted date and quickly reversed and surged higher. You can also learn to use the “action-reaction” methodology used to make this type of time and price projections in “Unlocking Wealth, Secret to Market Timing.

June Swiss Franc

June Swiss Franc

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29Apr/100

Reaction swing triggers buy signal for June Heating oil.

June Heating oil rallied off the low, posted on the April 28 reversal swing date. The market  had dipped down into the reversal date, with two lower closes, leading into the pivot low. After finding support from the lower up-sloping action line, Heating oil ended the corrective pullback and turned higher. The new  upward thrust is pushing the market out of the cconsolidation pattern where it has been trading over the past three weeks. The market should have built up enough energy to break out of the pattern and begin the new upward swing into the next reversal date on May 7th. This reaction swing pattern also projects a price target objective at 2.4250.

How to find and use the reaction swing pattern to make future Time and Price projections for swign trading is covered in the book “Unlocking Wealth, Secret to Market Timing.”

June Heating oil

June Heating oil

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28Apr/100

Bullish swing pattern sets stage for new rally in Gold.

Gold traded above the previous swing high ($1170.70 on April 12, 2010) at the close of Tuesday’s trading session and then backed off can closed below the  prior high. Wednesday’s session opens steady to slightly and traded slightly lower before surging past the pivot high for the second time. The second crossing sets the stage for a new bullish upswing into the May 5th reversal swing date with a target objective above $1215.00.

June Gold

June Gold

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27Apr/100

Swing Trade signal for Soybeans reaches target objective! [chart]

On April 5th, July Soybeans posted a low close of $945 1/4 inside the 60% buy window. Two days later,  Soybeans rallied out of the buy window and traded through the trigger price for a long entry signal. The reverse/forward count projected a new upward price swing of twelve days from the low close from April 5th. I also used the count to project a target objective at the down-sloping reaction (red) line. After the buy signal was triggered, July Soybeans rallied over 60 cents into the April 21st reversal date and touched the down sloping reaction line - at $10.17 – on the following  (trail) day. Soybeans reversed at the reaction line and are currently trading sharply lower. By understanding how to use the “action-reaction” price behavior I could have  identified the target objectives two weeks in advance. To learn more about this trading technique read “Unlocking Wealth, Secret to Market Timing”.

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27Apr/100

Long July Cocoa reaches reaction line on projected reversal date!

July Cocoa - When July Cocoa dipped into the 60% buy window on April 12th, the RT Swing Trader program triggered a buy signal for the July Cocoa at 2934. As soon as the buy signal was triggered, the RT Swing Trader identified April 26th as the projected reversal swing date and placed the reaction target objective at the 3200 to 3250 price objective. As you can see for the chart below, during the following eleven trading days, Cocoa rallied from the entry price at 2934 and finally reached the reaction line target objective of 3228 on the projected reversal swing date of April 26th. This is a prime example of how understanding how to use the action-reaction methodology and being able to identify the proper set up pattern can be used to enhance any trading approach. If you do not have the time to do the proper analysis, the RT Swing Trader will do it for you.

July Cocoa

July Cocoa

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