Stock market trading conditions have changed – Is a crash coming?

Jason Sen DayTradeIdeas.co.uk

Emini S&P futures

Emini S&P June futures I still think there is a good chance that we are about to establish a short term sideways trading range after such significant gains recently...A consolidation is normal, to ease overbought conditions.
But there is definitely no sell signal so I do not recommend gambling on a downturn at this stage.
We tested better support at the previous all time high at 7540/7535.
Longs needed stops below 7530.....but unfortunately we ran as far as 7525 before the strong recovery.
I am sticking with support at 7540/35 today but longs need stops below 7525!!
We do have Fibonacci support at 7517/12....longs need stops below 7500.
Just be aware that a break below here risks a slide to 7445/7440.
If we happen to recover & break the all time high at 7632, look for 7640/50, perhaps as far as 7670/7675.

Nasdaq futures

Emini Nasdaq June futures probably starting to form a sideways range to consolidate recent significant gains, as I warned.
We broke short term support at 30310/270 to target 30150/130, perhaps as far as support at 30000/29950 & longs need stops below 29850.
Just be aware that a break lower targets 29700/650.

Emini Dow Jones futures

Emini Dow Jones June longs at support at 50920/50855 worked perfectly as we held above 50720.
We shot higher to a new all time high at 51752.
Next target is 51860/890.
On a break above 5200 look for 52500/600.
First support at 51480/400 & longs need stops below 51250.

Author

Jason Sen

DayTradeIdeas.co.uk

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens.

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