Powell spoke and stock index futures traded in a volatile, zig zag type of trading most of the day unable to break one way or the other and closing near the unchange.
On the daily chart, both the SP and NASDAQ are noticing more pressure to the downside.
One of the keys for day Traders is to try and establish early on what type of day trading environment they are in.
Is this going to be a trend day it is this going to be a choppy low volatility trading day? is the day unfolding has a potential to be a volatile two-sided type of trading day?
Being aware of the top of trading day that is unfolding in front of you can help you decide which strategies to apply on that trading day.
Knowing what reports are coming out. the general direction of the long term charts can help you.
Different strategies will work better in different type of trading environments.
On a different note, softs, i.e. Cocoa, cotton, Coffee , Sugar, OJ are experiencing much higher volatility than historical norms. Cocoa just dropped close to 8% today after trading above the historical mark of $100 per metric ton.
below you will see a daily chart of Coffee futures and possible future direction.
Daily Levels for April 17th, 2024
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* This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.