Here are next week’s predicted major market ranges from Trevor Smith.
Crude oil gets the “cool chart” comment this week with its identical, adjacent double hammers on the daily chart. I consider this a short-term buy signal and I would enter when price falls halfway down the tail of the candle, to the $55.95 to $55.35 area.
Last week, four of five option spread trades worked and markets hit five of 10 projected range extrema as of midnight Thursday. To create your own option spread trades in my method, choose whether next week’s range should be bullish/bearish adjusted and where extrema might occur (I did this part for you already). Then, make an option spread trade toward the exact midpoint of your range (or mine), especially if current price is far from it on a Friday. Essentially, median weekly pivots print between 62%-72% in my research, but the range midpoints become harmonic equilibrium prices more often. Try it below.
Next Week’s Predicted Ranges
E-mini S&P 500
High Range 3018-3001; Low Range 2955-2940 (outlier events=2870. 3055 Monthly Camarilla resistance)
Bearish technicals after 3001 tested above
Japanese Yen
High Range 9399-9373; Low Range 9311-9294
Bull, then bearish; Euro may lead it up
Euro FX
High Range 1.105-1.102; Low Range 1.097-1.094
Consider bull-skew strikes Iron Condor, or simple short put spread near low of next week near here on Fri
Gold
High Range $1533-$1524; Low Range $1501-$1489
Bearish weekly chart inverted hammer, bull Daily chart toward highs
Crude Oil
High Range $6300-$6000; Low Range $5700-$5500
Last Week’s Projected Ranges Versus Actuals As of midnight Sep. 26.
E-mini S&P 500
High Range 3036-3018; Low Range 2983-2967 (outlier events=2870. 3055 Monthly Camarilla resistance)
Actual: 3012-2953
Buy 3020/3015 put spread weekly, monthly expirations.
Rationale: buying the volatility possibility, trending pivots, bear candles on multiple higher time frames & symbols
Japanese Yen
High Range 9380-9358; Low Range 9280-9250
Actual: 9402-9312
Sell 9350/9325 put spread weeklies:
Rationale: Support up to lower Fibonacci retracement levels, sell volatility as it collapses over weekly pivot
Euro FX
High Range 1.125-1.120; Low Range 1.108-1.104
Actual: 1.1092-1.096
Buy 1.112/1.115 weekly call spread if price under 1.109 Mon-Tue; Keep 1.10/1.105, 1.115/1.117 Monthly call spreads into next rally:
Rationale: Weekly chart bull candle, early week lows = 3 days for reversal rally
Gold
High Range $1533-$1521; Low Range $1498-$1488
Actual: $1,543-$1,507
Sell weekly call spreads $1515/$1520;
Rationale: weekly pivot zone, range midpoints below, sell tail candles
Crude Oil
High Range $6300-$6000; Low Range $5700-$5500
Actual: $59.39-$55.41
Buy call spreads weeklies 5900/5850 Rationale: test weekly pivot zone overhead early
See More analysis from Trevor here
Note: Nothing herein shall be construed to be specific financial advice. While reflecting my best good-faith efforts to forecast markets, no guarantees of accuracy are made from my range statistics, aggregate statistics, frequentist interpretations, and pivot math from hand calculations. I am a registered newsletter CTA, and all required disclaimers apply. Trade at your own risk with money you could discard/not miss.
