Outlook 05/01: Amid expectations of upcoming rate hikes, the dollar has broken into positive territory for the year. The move higher comes ahead of this week's Fed meeting and jobs report, two events that are likely to define its near-term fate. May Day holidays in many centers across Asia and Europe also meant trading was sparser than usual overnight, although the "Sell in May" theme seemed to hit traders in the U.S., with stock index futures dipping ahead of the bell.
/ESM8 Value: YVAH 2669 YPOC 2647 YVAL 2646
/ES Plan: Yesterday market closed bearish (PBT 2631) and overnight profile shows bearish profile (GBT 2638), moving within Yesterday's value, so we've these options:
A) If market remains below YVAL 2646 with bearish internals, become a seller leaning on 2646-2648 towards HVE 2639 PBT 2631 and HVE 2620. 'Look above and fail' is a signal of weakness.
B) If market starts to move above YVAL 2646 with bullish internals, be a buyer leaning on 2646-2648 towards ONH 2653.75 and YVAH 2669. 'Look below and fail' is a signal of strength.
Today's Economic Calendar
09:45 PMI Manufacturing Index
10:00 ISM Manufacturing Index
10:00 Construction Spending
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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