$WMB Williams April Seasonality trade with Ichimoku

$WMB Williams April Seasonality trade with Ichimoku.   Trading is all about probabilities.   Therefore, we like to look for seasonality pattern from (alerttrades.com) with Ichimoku Setup.

$WMB has a 100% seasonality confidence value for the month of April.   Here is the information from Alert Trades (www.alerttrades.com)

2017-04-02_154718_wmb)seasonal

Alert trades shows us that $WMB has been bullish 10 out 10 years with an average price movement of 7.6%, draw down of 3.2%, with an SIV (seasonl index value) of 10.6.   We want the SIV to be above 10 so we know that the instrument is going to move for the month compared to consolidating.

$WMB fit our seasonality criteria but now we need a technical setup.   Without a technical setup, it is not worth exploring.

Below is the monthly chart for $WMB.  All charts are provided by TradingView:

2017-04-02_155315_wmb_monthly

 

The monthly chart shows there is a bearish setup.   However, price is not going down because there is a major support at 28.46 that has been stopping the bearish movement.   This support has held for 6 months already.

Below is the 240m time frame:

2017-04-02_155655wmb_240

We have a bullish setup on the 240m with black cross support below us.    Due to the bearish setup on the monthly time frame and the fact it has consolidated for 6 months around the main support, we are going to look for a low risk pull back trade.

The chart shows the chart setup.  The reward/risk 3:55/1 so that meets our money management.  The good thing is the preserve mode value of 30.23 will change the sentiment on the daily time frame to be bullish

Earning is also May 3, 2017 so the volatility for options is still at the average value so we can look at options if price gets to the pull back level.

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com

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About the Author Manesh Patel