The 61.03 rally target I disseminated here last week caught Tuesday’s intraday high within 7 cents, allowing subscribers to exit long positions entirely, take a partial profit or get short. All three actions were reported in the chat room, and I tried to address them in an update. In brief, respectively: 1) If you exited a long position, treat yourself to a big night on the town, since your theoretical gain would have been as much as $1,280 per contract if you’d bought at 59.75 when the recommendation first appeared; 2) if you stayed long, you’ll be shooting most immediately for the 62.72 target shown. From the so-far high at 61.10, $1.62 of potential profit remained, assuming the target is reached. If you keep risk:reward constant at 1:3, that would imply a 54-cent trailing stop, tightened as the futures get closer to 62.72; and 3) if you shorted more than one contract from 61.03, I suggested in the chat room that you take a partial profit, since the subsequent pullback to 60.31 would have been worth $720 per contract. Consider exiting the remainder if the buyers generate a bullish impulse leg on the 15-minute chart. Note: On the daily chart, the highest target I can project is 65.76. If you are planning to swing for this fence with a long position already held, the implied trailing stop would be 1.56, shrinking by one cent for every 3-cent move above 61.10. _______ UPDATE (9:20 a.m.): If you were short and followed my advice, you would have stopped out the position for a profit at 4:35 p.m. Tuesday, when the futures touched 60.63. If you remained long, the futures have spent the last four hours head-butting — precisely — the 62.05 p2 of this very clear pattern on the 5-minute chart: A=58.78 yesterday; B= 61.10; C= 60.31. Immediate potential, if and when the futures get past it, is to D=62.63.
_______ UPDATE (11:43 a.m.): Bullseye! The futures topped this morning at 62.53, then plummeted almost $2 in an hour to a so-far low at 60.63. You should be out of all longs — and short if you traded the rally target aggressively.
