Re-Balances

Outlook 06/27: Stock futures tick higher early Friday with SP500 printing new record high. There is so much money that wants to come into the market that didn’t for a while, so FOMO are fueling this rally. On the economic front, investors also parsed a hotter-than-expected reading of the Federal Reserve’s preferred inflation gauge. The May reading of core personal consumption expenditures price index advanced 2.7% year-over-year in May, while economists forecast an increase to 2.6%. Keep in mind that Today and Monday are re-balance days, end of Month and Quarter for Hedge and Pensions funds. They need a strong retail buying activity to re-balance their positions ahead next quarter.

ESU25 (SEP2025): YVAH 6200 YPOC 6190 YVAL 6175 GAP 6190

/ES Plan: Yesterday market closed bullish (PBT 6240), and overnight continues on that way (PBT 6226), moving above previous value/range, so these're the opening and initial balance options for current session:

A) If market remains above YHOD 6200 with bullish internals/delta, buy towards ONH 6220 and PBTs 6226-6240 magnets.

B) If market moves below YHOD 6200 with bearish internals/delta, sell towards YPOC-GAP 6190 and YVAL 6175 magnets.

Note: Overnight inventory is bullish. The expected action is a counter-auction. Failure to see the counter-auction would be an indication of potential bearish trend day. If market opens above value and it begins to trade within value, VAR setup comes in play. Remember that new record high has been printed overnight, so it's still pending to be revisited at regular trading hours. It's 'Capital Preservation Friday'. Try to be calm and focus rather than thinking about your P/L account. 

Market Movers

10:00 University Michigan Sentiment

13:00 US Baker Hughes Total Rig Count

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