The Weekly Call – Trade Setups for the week of October 23rd

The Weekly Call – Trade Setups for the week of October 23rd

The Weekly Call is a feature at The Art of Chart where we discuss setups and trading strategies for the coming week.We carefully select these setups due to their quality and profit potential. This week we review Live Cattle and Gold.

Live Cattle follow up

Bigger picture in Live Cattle, we have been hunting a big turn at a 18 month cycle low. Updating from last week, so far we have profit potential of $3.80 on 1/3 of a position from the turn on 10/03, we were stopped out on the next move lower to a new low. We recommended getting long again last week on the great setup at the Monthly S1 which was near the 100% fib at 95.70 AND at the declining resistance trend line.So far we have a profit potential of $6.70 from our entry last week. We encourage everyone to take off 1/3 of your position here and place your stop an even for a risk free position. We expect to see support at the weekly pivot at 100.675. If support is found there, we are looking for $110 in the next 3 weeks.

We expect subscribers to have captured 60% of these two swings so far or $6.30 which for Live Cattle is a profit of $2,520 per lot. ( one lot is $1,980 in margin )

We may have just seen the 18 month cycle low which means we may have a potential trend change in the coming months.  We have not converted monthly pivot at 102.625 yet, which is required for bullish follow through.

 

2016-10-23-le-1h

Cycle Chart for Live Cattle from last week showing cycle alignment

2016-10-16_1742

14 day FREE trial now offered for Trader Triple Play – Click Here

Gold Follow Up

We recommended a long in Gold last week on a higher low setup. So far we have $19.40 of profit potential. We recommend taking 1/3 of your position in profit and setting your stop to even for a risk free position. We expect subscribers to have captured 60% of this swing or $11.50 in profit.

This week we are looking for a three back to 1254 – if it holds we expect gold to rally to 1300. If it breaks, gold can collapse to 1235 quickly.

The Cycle High Window calls price higher into early November. Watch 1300 for resistance and first target of 1360 into the first week of November. The trendline may come into play next week.

 

2016-10-23-gc-1h

 

Cycle Chart for Gold from last week showing cycle alignment

 

gold10-9

 Coffee Counter Trend Setup

Coffee is presenting a higher risk counter trend setup as we are approaching a significant end of impulse. We recommend capturing the trend

 

 

Have a GREAT trading week!!!

 

 

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

Save

About the Author

Stan Nabozny
Stan is a 20 year retail trading veteran and Co-Founder of The Art of Chart. His specialties include using futures and options to trade Energies, Precious Metals, Equities, Currencies, Bonds, Softs, Grains and other commodities. Stan believes that Risk Management and Trader Psychology are more important that technical analysis and spends his time teaching and coaching other traders on these topics . Stan uses various trading systems and technical analysis approaches that integrate time and price in his work. See his latest articles here and www.huffingtonpost.com.

Comments are closed.