The likely breakout/blowout symbol for this coming week ending June 14 is the Japanese yen, writes Trevor Smith.
The likely breakout/blowout symbol for this coming week ending June 14 is the Japanese yen futures. Narrowing in range, yen futures are entering double-trending pivots status (for the week and Monday intraday pivots), thus shaping and forming an early-week, Monday-Tuesday price range box escape. Furthermore, it has a bearish engulfing candlestick on the daily chart that is out-of-value by several methods with a volume surge. Countertrade reasons exist, though- trade using weekly-expiration options on the yen short or USD/JPY long trade.
Last week, my ranges were close but only 50% actually hit, though we anticipated the S&P 500, Eurodollar rallies, timing, potential trades and crude oil lows.
S&P 500 futures are responding to the market internal rally signals I identified two weeks ago. Presently, the weekly chart bullish engulfing candlestick is swallowing the 20- and 50-period moving averages. It is a long call spread opportunity using monthly options/2900-05 strikes, although a calendar/diagonal spread would give it extra time to profit. Due to overhead resistance from the 50-day moving average and $ADD daily-chart spinning top doji candles.
Crude oil is showing up to the trading party as a rare wild horse that wants neither to be corralled nor quantified. It has bullish candles on three-day, weekly and monthly charts. It has year-to-year overlapping/engulfing pivots (S&P futures are similar) setting up a massive breakout that might start here and progressively pass through multiple time frames.
Next Week’s Predicted Ranges
E-mini S&P 500
High Range 2941-2911; Low Range 2844-2822
Japanese Yen
High Range 9299-9260; Low Range 9200-9158
Euro FX
High Range 1.140-1.137; Low Range 1.130-1.126
WARNING: June Breakout to 1.135-1.137 already occurred.
Gold
High Range$1362-$1346; Low Range $1330-$1323
Crude Oil
High Range $5660-$5540; Low Range $5273-$5140
Last Week’s Predicted-Versus-Actual Ranges (Friday, June 7); 5/10 touched ranges
E-mini S&P 500
High Range 2832.46-2813.95; Low Range 2744-2731.96
Actual: 2886-2728
Japanese Yen
High Range 9499-9300; Low Range 9183-9162
Actual: 9284-9212
Euro FX
High Range; 1.12701-1.12379; Low Range 1.115-1.113
Actual: 1.135-1.117
WARNING: June Breakout to 1.135-1.137 already occurred.
Gold
High Range $1325-$1314; Low Range $1299-$1290
Actual: $1352-$1310
Crude Oil
High Range $5683-$5519; Low Range $5272-$5225
Actual: $5463-$5006
