Turnaround Tuesday – US Markets Run Up in the Futures Just Because

Yet another meaningless Monday erased from history.

After all of yesterday's excitement, the Futures have taken us right back to where we finished on Friday, 2,832 on the S&P 500 and 25,300 on the Dow – as if yesterday never happened.  I'm not sure it will last as Europe is flat, not up and China was down yet again this morning so there's nothing really to get too excited about and 25,300 is a good shorting line on the Dow Futures (/YM) with tight stops above – if you feel like playing.

We felt like playing yesterday as Gasoline (/RB) dipped down to the $2 line and Oil (/CL) fell to $66 and I said to our Members at 1:48 in our Live Chat Room:

Wow, Oil etc went down hard and fast, good chance to get back in for the bounce off $66 on /CL and $1.99 on /RB (tight stops below).  

I know, so complicated, right?  How will you ever learn the jargon?  Well, I would think our results would motivated you as those Gasoline contracts made a quick $1,000 each at $2.02 (and back to $2.05 this morning for another $1,260 per contract since) while Oil Futures (/CL) blasted back over $68 for a $2,000 per contract gain ($67.50 in yesterday's close was $1,500 per contract – also very nice!  

Futures trading is the only kind of day trading I like to do as it's a nice quick way to take advantage of market stupidity without incurring a lot of trading fees and, more importantly, without consuming your attention.  As Fundamental Investors, we KNEW $2 was too low for /RB (that did not stop it from hitting $1.98, of course) and we KNEW $66 was too low for oil with 2 weeks until a holiday weekend so it made good sense to take a chance at those levels and notice we waited until AFTER it bottomed – you don't get rich trying to call exact bottoms or tops in the Futures!

 As I was saying in last week's webinar,…
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