While the talking heads are focused on the election results, it is Kuroda’s latest antics that have S&P futures up 13 points this morning. Apparently not satisfied with going “all-in”, he emphasized last night that he is more than willing to go all-in’er. USDJPY shot back through the yellow .786 and nearly reached the 1.618 extension of the drop from Monday’s highs.
Given ES’ action, SPX is pointed right at Monday’s highs. I’ll be watching to see if we get some drama around the .886 at 2022.
Interestingly, NKD still hasn’t topped the .618 of its drop from Monday. Keeping the powder dry, or a sign of a pop and drop? We’ll see.
Keep an eye on the futures action after the cash open for some hints as to the strength of this leg higher.