Good morning, Traders!
I’m excited about what’s happening in the E-mini Russell 2000 (RTY)! The sell-off I predicted is almost fulfilled. The market is getting closer to hitting our Fibonacci extension of 2180.3. Once the RTY hits that lower price, we’ll look for a U-turn back toward the top of the channel. If everything goes according to plan, that means a +1800 tick opportunity! That means more money in your pocket if you make this trade at the right moment.
But it’s not as simple as jumping in and making things happen. Make sure you check out my free information on how to enter the market at the correct time.
As we watch the RTY approach the point where it should U-turn, we’ll need to keep an eye on our timeframe charts to make sure we’re ready to execute our entry strategy as the market heads back into another bullish rally. Don’t have a trading strategy? Read up on my trading information to find out how to get started on building your own!
Now let’s jump into the timeframe analysis for the RTY to see how we can get ready for this money-making opportunity:
Daily Timeframe Analysis
The RTY daily timeframe shows the market preparing to bottom out at support (lower grey line). The sell-off is playing out just as I predicted. Check out how close it is to that yellow line in the chart! We’re almost at the bottom of the channel, which means a rally is on its way.
Once the market hits support at the bottom of the channel, we should see a U-turn (the market making a change in direction) back up. That means the RTY has settled at a low enough price that buyers are jumping in and turning the direction of the market positive. We’ll then wait for the price to break the counter trendline(diagonal grey line in the middle of the channel), alerting us that the RTY is in the buy zone! That’s when you should turn to the one-hour timeframe and get ready to buy-in.
One-Hour Timeframe Analysis
The one-hour timeframe for the RTY shows us that the market is ready to turn bullish! Both the long-term and short-term directions of the market are now up as the price is about to bounce off support. This is where the action is when it comes to making money in a futures market.
As the RTY hits support and U-turns, we’ll want to draw a counter trendline and wait for the market to break through. When that happens, we’ll know that the market has stopped dropping and is turning toward a bullish rally. That’s when we’ll make our decision to buy the RTY and ride the rally back to the next high price. But before you do that, you’ll want to learn more about drawing trendlines the correct way. It’s a crucial step in making the right decisions about any trade.
The Bottom Line
This is a fantastic opportunity to get in on an upcoming RTY rally as the market price prepares to bottom out and turn back positive. We can expect some serious positive tick movement out of the RTY. Remember that buying low and selling high is fundamental to making money in any market, especially futures.
To get ready, be sure to read more about tick values and what they mean for futures trading here!
You’ve now got the basic info on what’s going to happen to the RTY futures market, but what do you do with it? Check out my resources to become a serious futures trader who makes actual money in the market. It’s not as complicated as it seems if you follow my strategy!
Mindset Advantage: Accept
It’s not the market. It’s not your indicator. It’s TRADING.
Let it go. The first step toward consistent profits comes when you accept the reality that losses will occur.
Prices have a mind of their own at times. The institutions are at the wheel. The sooner you accept this, the more progress you’ll make.
Look at the past, but don’t stare. Accept what’s happened and move on.
Target tighter entries. Get the heck out of those losers you’re hanging on to.
Accept. And start to enjoy trading.
Traders Training Session
