Futures have rebounded almost .50% after testing recent lows yesterday.

Traders remain focused on tomorrow’s FOMC minutes and Thursday’s CPI print.

continued for members…

Note that EURUSD has completed its channel backtest ahead of schedule. It could rebound from here, but I suspect it’ll be back around early November.

Likewise, USDJPY has completed its backtest of the broken TL but is likely to keep doing so until reaching our November target – the SMA200.

All this translates into DXY reaching our SMA200 target.Remember, a stronger dollar helps bring the price of oil and gas down… …which would help to get TNX to back off.The 2s10s has completed its reversal to the bottom TL. Either direction from here is dangerous.A closeup reveals that the rising wedge comes to a head in late November. This means 2s10s must either break out or break down sometime between now and then. A dip back below 0 would probably be quite bearish for stocks. So, the optimal outcome (for bulls) would be a mild breakdown which muddles along without making new highs.
Stay tuned…