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Category: Index Futures

Introduced in the year 1982, Index futures or stock index futures are extremely popular among trading commodities today. While trading, an index future is settled in cash on the value of a certain stock market index. One of the most traded indices is the S&P500.

These are quoted on the basis of either an underlying or a spot price for an index value. There are a number of technicalities involved, most of which you should understand. However, even if you find it tough to comprehend what Index futures are, you can take assistance from the trade experts at Cannon Trading.

We at Cannon Trading want you to understand the basics and the details about Index Futures like our experts do. There are a number of blogs that we list here in our category archive. We recommend that you read these to know for yourself what Index Futures trading is all about.

Price Levels for Futures Trading, September 28th 2010

Posted on by Ilan

Daily chart of Mini SP below. As I mentioned last week, I got a couple of potential “sell signals” and the market only gave us a small decline if that. What is being referred to as “divergence”. Well…I got one more potential for market retracement.

This time the SP will have to drop below 1123 in order for me to enter a short swing position. I call it price conformation. Meaning I would like to see price action confirming my technical speculation. FIB levels on the chart will be used to determine potential targets, stops etc.

Mini SP Future Trading Chart
Mini SP Future Trading Chart

Continue reading “Price Levels for Futures Trading, September 28th 2010”

Futures Exchange: Using Different Day Trading Techniques August 17th 2010

Posted on by Ilan

“The News can really Move the Futures Market”

Somewhat of a quiet day on the futures exchange to start the week after some volatile sessions last week. As I’ve said many times before, if a trader can recognize early enough during the trading session, what type of trading day is about to unfold, then one can use the proper day-trading technique more suitable for that day.

Some examples may include: join the trend on trending day, mean aversion techniques on choppy days and much more.

On a different note, I got a blue diamond for tomorrow’s session which can mean potential up day if the market can break above 1083.00 or….continued decline if it fails to gain some upside momentum. Daily chart for review below:

EP - E- Mini S&P 500, Equal Active Daily Continuation
EP – E- Mini S&P 500, Equal Active Daily Continuation

Continue reading “Futures Exchange: Using Different Day Trading Techniques August 17th 2010”

Futures Market & Trading News with Daily Levels August 10th 2010

Posted on by Ilan

“‘The News can really Move the Futures Market”

FOMC tomorrow around 14:15 EST

FOMC days have different characteristics than other trading days. If you have traded for a while, check your trading notes from past FOMC days that may help you prepare for tomorrow. If you are a newcomer, take a more conservative approach and make sure you understand that the news can really move the futures market.

My observations suggest choppy, low volume up until announcement, followed by some some sharp volatile moves right during and after the announcement.

Futures & Commodity Trading Levels (Potential Support/Resistance):

Futures & Commodity Trading Levels (Potential Support/Resistance)
Futures & Commodity Trading Levels (Potential Support/Resistance)

Continue reading “Futures Market & Trading News with Daily Levels August 10th 2010”

Futures Market & Commodity Trading Daily Levels August 6th 2010

Posted on by Ilan

“The Futures Market is possibly over bought”

Monthly unemployment numbers tomorrow before the cash open will provide the futures market with some direction and may get us out of this ‘summer low volume’ type of trading.

Plan your trade, trade your plan. Stay focused and ONLY try to day-trade when you are focused. Remember to stay disciplined and know that no one trade or trading day will determine your trading fate. Even when day-trading (which is a short term action), the end results is of long term progress effort and the sum of many trades.

On a different note, below is a daily chart of the Mini Dow Jones. I got a red diamond ahead of tomorrows session. For me, that means that ‘the futures market is possibly over bought ‘. The way I like to play this set up is that if we break below 10550, we have a chance for a stronger move down. On the other hand, if we can keep above it, we may see 10720 soon.

YM - E-Mini Dow Futures - $5 Multiplier, Equalized Active Daily Continuation
YM – E-Mini Dow Futures – $5 Multiplier, Equalized Active Daily Continuation

Continue reading “Futures Market & Commodity Trading Daily Levels August 6th 2010”

Mini Dow Jones Futures Contract and Resistance Levels August 4th 2010

Posted on by Ilan

“The Current Uptrend is Strong”

Daily chart of Mini Dow Jones futures contract for your review below with possible Elliot Wave scenarios. The 82 reading suggest the current uptrend is strong. If the 3rd wave we are in will continue than next target will be 10723. If the market pulls back first to possible 4th wave, support is at 10490. Of course, when its all said and done what matters most is price action and not what we want or hope the market will do.

YM - E-Mini Dow Futures - $5 Multiplier, Equalized Active Daily Continuation
YM – E-Mini Dow Futures – $5 Multiplier, Equalized Active Daily Continuation

Continue reading “Mini Dow Jones Futures Contract and Resistance Levels August 4th 2010”

Summer Futures Trading Resistance Levels August 3rd 2010

Posted on by Ilan

“Today’s session was classic example of a Summer Trading Session”

Fairly boring trading day on the futures market. Low volume and overall not many set ups after initial move up. It is what it is. As a futures trader, know what market environment you are in and don’t try to force trades if you don’t have the set ups you are looking for. Some days, the market provides better opportunities than others, sometimes it provides many more risks. Patience is key. No trade is better than a bad trade.

Continue reading “Summer Futures Trading Resistance Levels August 3rd 2010”

Online Trading and Futures Market Resistance Levels August 2nd 2010

Posted on by Ilan

“GOOD TRADING!”

Wishing all of you a great trading month during August 2010! Enjoy the weekend, clear your mind from trading emotions and recharge for the new week / month.

Futures & Commodity Trading Levels (Potential Support/Resistance):

Futures & Commodity Trading Levels (Potential Support/Resistance):
Futures & Commodity Trading Levels (Potential Support/Resistance):

Continue reading “Online Trading and Futures Market Resistance Levels August 2nd 2010”

Best Trading Practices: Always Ask Your Futures Broker July 30th 2010

Posted on by Ilan

“Last Trading day of the month tomorrow.”

At any time traders, especially self directed futures traders, must be aware of first notice day, last trading, economic reports etc.

Tomorrow is first notice day for August Gold futures contract – As your futures and commodity broker we try our best to keep many of you informed via this daily blog but always make sure you contact your futures broker with any questions you may have.

Daily chart of September e-mini Dow Jones below for review. I am not sure about direction to be honest. Both bulls and bears have a case and at this point we are trading in a band between 10293 and 10536, which is a wide trading range.

YM - E-Mini Dow Futures - $5 Multiplier, Equalized Active Daily Continuation
YM – E-Mini Dow Futures – $5 Multiplier, Equalized Active Daily Continuation

Continue reading “Best Trading Practices: Always Ask Your Futures Broker July 30th 2010”

EMini S&P 500 Charts, Day Trading Tips & Resistance Levels July 27th 2010

Posted on by Ilan

“Today’s Futures Trading session was lower volume”

Well like I said before, each day-trading session in the commodities and futures markets can wear a different dress. Today’s trading session was lower volume, indecisive to start with but with enough intra-day swings in price action to provide some trading set ups.

I mentioned before in this blog as well as in my day-trading webinar that if a trader can get an early sense to the type of trading day that is about to unfold, he/ she can really increase their chances by using methods/ indicators and set ups that work better for the different trading days ( trending, choppy, volatility on both sides etc.)

In between, below you will see a daily chart of the mini SP 500 with what may be some resistance levels on the way up and possible support levels if we decide to turn around and head back south ( last week we had more than a few changes in market direction)

Continue reading “EMini S&P 500 Charts, Day Trading Tips & Resistance Levels July 27th 2010”

Futures Trading Levels & Economic Reports for July 21st 2010

Posted on by Ilan

Nice bounce after touching some FIB levels during overnight session/early morning. FIBONACCI levels been providing good support/ resistance levels so far when applied over multiple time frames. ( daily, hourly, 15 minutes etc. )

Below is a daily chart of the E Mini S&P 500 futures contract with FIBONACCI levels drawn.
Notice todays lows and highs.

We are closing against highs and some momentum during the night session can help this market visit 1099. Failure against the 1081 level and we are back to range bound trading.

EP - E Mini Standard & Poor's 500 (S&P), Equalized Active Daily Continuation
EP – E Mini Standard & Poor’s 500 (S&P), Equalized Active Daily Continuation

Continue reading “Futures Trading Levels & Economic Reports for July 21st 2010”

RISK DISCLOSURE: Past results are not necessarily indicative of future results. The risk of loss in futures trading can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition.