Another Day, Another Test

As we slowly make our way toward the end of Q2, we continue to see tests of important support. They are usually followed by sharp bounces despite the growing evidence that a selloff is right around the corner.Will today be the day the market finally takes the plunge? continued for members… … continue reading →

Oh Yeah, the China Trade Deal…

When does “it’s over” mean it’s not over?  When the market plunges 65 points, of course. The 2% hiccup came when Fox’s Martha MacCallum asked Trump advisor Peter Navarro whether John Bolton’s claims that Trump delayed imposing sanctions on China over its policy of interning Uighur Muslims would jeopardize the China trade deal. Navarro, fresh … continue reading →

Charts I’m Watching: Jun 22, 2020

Futures are off slightly this morning as ES has backtested the channel it meant to break out of on OPEX Friday.  Today marks the beginning of the last seven sessions until the end of Q2 – traditionally a period of flat or rising prices. Can the seasonal trend offset the growing list of bearish fundamental … continue reading →

The Holding Pattern

Futures are heading for another test of the 2.618 Fib extension at 3076.93, the fourth since last pushing above it on Monday. There are numerous targets below, but that would mean cooperation from the algos – a rare commodity these days. The bearish case, however, is growing stronger every day. continued for members… … continue reading →

Is It Safe?

It happened 9 sessions before our charts indicated, but ES and SPX both tested their SMA200s yesterday. As expected, we’re getting a nice bounce – primarily on the back of a 15% drop in VIX from yesterday’s highs (and the breakdown to come of the dashed, red trend line.)ES looks likely to backtest its 2.618 … continue reading →

Powell: What Did I Say!?

I saw an interesting interview on CNBC this morning where the guest observed how important overnight trading was to the market’s overall performance. Andrew Ross Sorkin offered data that if one bought the S&P 500 at the close of each day of trading and sold at the next morning’s open, they would be up 650% … continue reading →