Our track record for August was good with only one losing trade and six winners, but we closed out the Euro which was a July trade with a loss. We have to be mindful how a loss affects our trading. Most of us cannot get around the human tendency to try to "get it back" on the next trade. We can get it back if we are patient and wait for good set ups. We are about to get several of those.
I think we will soon have daily cycle low's in the stock market and energy. We should get opportunities as soon as tomorrow to buy. The NASDAQ has not had an oversold RSI reading since March. We could have this tomorrow. I am not sure we will get a swing low or a hammer tomorrow but we could. The government frequently intervenes on Monday's to get people to start buying for a new week of trading. I am thinking we could try to step in before the market closes on Friday at a good price to take advantage of the intervention.
I also believe we could be reaching a good place to begin an energy trade....most likely crude oil. If you are a farmer, this could be a good place to begin hedging your diesel fuel needs, either filling your tank or buying heating oil futures. Crude and heating oil are already at levels that could be considered DCL's. We await confirmation for a long trade in energy.