Outlook 04/05: U.S. market futures were pointing to a fractionally higher open after Wednesday’s huge late-session turnaround rally, which saw stocks reverse sharply higher following the dour trade that had started the day. The SPX climbed more than 90 points from its session low. The specific turnaround point appeared to occur when NEC Director Larry Kudlow discussed the possibility that the China tariffs would not go into effect and that Pres. Trump wants to solve the trade dispute through negotiations.
/ESM8 Value: YVAH 2649 YPOC 2644 YVAL 2598
/ES Plan: Yesterday market closed bullish and we've continud up overnight with yesterday multimodal profile, so first step to watch is the last LVN behind:
A) If market remains above ON-LVN 2655 with bullish internals, be a buyer leaning on 2655 towards ONH 2667 and LVN 2677. 'Look below and fail' is a signal of strength.
B) If market starts to move below ON-LVN 2655 with bearish internals, become a seller leaning on 2655 towards YVAH 2649 and LVN 2640. 'Look above and fail' is a signal of weakness.
Tips: When I mention 'bullish or bearish' internals, I refer to these internals to be positive/negative and/or at least the channel slope rising/falling. These internals can help you to confirm your decision.
Today's Economic Calendar
09:45 Bloomberg Consumer Comfort Index
10:30 EIA Natural Gas Inventory
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
Questions? Just ask via email or twitter @verniman direct message.
