We’re bullish all the way on this symbol!

Good morning, Traders! It’s time for your Daily Direction update.

Today we’ll shift gears away from the Nasdaq and take a look at the Russell 2000 E-mini Futures Index (RTY). Both the long-term and short-term directions are bullish as we actively look for buying opportunities.

Today’s Daily Direction is the sort of setup that we dream of when looking for buying opportunities in the futures market. We have a clear direction that’s outlined in our timeframe charts, we see the trend moving steadily toward a higher price, and the market history is supporting our data.

With the RTY, we can keep an eye out for a low price entry in the buy zone and watch as the extension continues.

Let’s dive into the analysis to get the full picture!

Daily Timeframe Analysis

The daily timeframe analysis shows that the market is clearly extending bullish and taking out the previous highs. We can see higher highs and higher lows in the overall movement. So we’re definitely in the buy zone as the price extends towards 2588.1. If you look at the below chart, you’ll see that the market has clearly broken the counter trend line bullish, telling us the daily direction is solidly up:

Chart the channel

The daily timeframe chart for the RTY shows that the price has broken bullish through the counter trend line (short diagonal lilac line) and is on its way up!

If this trend continues, we’ll see a +3056 tick movement. These are the kinds of movements we look for when setting up a trade. We wait for a market to enter the buy zone and then enter a position at a low price within the zone. Check out my How to Enter the Market on Counter Trend Line Breaks article to learn more about proper market entry. Now, let’s take a look at the one-hour timeframe to better understand where we are in the short-term buy zone.

One-Hour Timeframe Analysis

As we look at the one-hour timeframe, we can see that the overall movement is doing a great job of making higher highs and higher lows. The direction is up and headed toward the 2322.7 price point. Again, this is the sort of movement we want to see when setting up a trade! Take a look at the one-hour chart to see what I’m talking about:

Chart the channel

The one-hour timeframe confirming that the short-term direction is up as the price movement is making higher highs and higher lows towards an overall higher price (up green arrow)

You can see how the price has broken the counter trend line and remained bullish (short diagonal lilac line). If the trend continues on its current course, we’ll actively look for low price opportunities to buy in.

The Bottom Line

The long-term and short-term outlooks for the RTY are bullish. We see the market hit higher highs and higher lows. There’s a clear bullish break through the counter trend line. We’re confident that the market is in the buy zone. Now, we look for opportunities to buy at a low price within the buy zone and watch the bullish trend continue.

The Bottom Line

The overall trend for the RTY is up. We see both the daily and one-hour timeframe revealing an upward trend.

Of course, none of this is possible without having a trading strategy that follows the daily direction. Without this information, you’ll have a hard time figuring out when to get in and get out of the futures markets. Don’t get stuck in a rut trying to figure this out all by yourself. Let me help! That’s why I’m here.

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.

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Josh Martinez

Josh Martinez

Josh Martinez is an elite Analyst who’s been actively trading the financial markets since 2011. He’s known as one the leading innovative traders in this industry due to his his cutting-edge strategies.

Josh first burst into the scene when he took an initial deposit investment of $500 and turned into over $39,000 in just under 2 years.
Josh’s trading articles have been featured in Your Trading Edge, The FX Street, Trader Planet, Forex Crunch, Trading Pub, and Equities.com.

In addition to trading, Joshua has also trained thousands of traders worldwide. His strategies and systems have helped others find success in the market

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