Roll Week Begins
by Tony Rago
It’s roll week, and futures traders are officially making the transition to the September contracts (U26). I’ll be trading the new contracts starting today as well. One thing that immediately stands out is the sizable roll gap in the U contract following yesterday’s peace-related headlines. Whenever we have a meaningful gap combined with a contract roll, price discovery can get a little messy early on as traders adjust positioning and liquidity shifts into the new contract. Because of that, I have no interest in forcing anything out of the gate. My focus will be on seeing where the opening range and initial balance establish before making any decisions.
Adding another layer to the week is the fact that it’s also FOMC week. That means traders are balancing both the contract roll and the potential for headline-driven volatility as we move closer to the Fed announcement. These types of weeks often reward patience far more than aggression. The best opportunities tend to come after the market has had time to establish structure and reveal its intentions. Let the opening range do its job, let the levels develop, and avoid getting caught up in the noise. There should be plenty of opportunity once the market tips its hand.
👉 Full breakdown is inside today’s Pre-Market Playbook.
Check it out here and trade it smart.
– Tony
