Outlook 03/07: Widely viewed as a voice for Wall Street in the White House, Gary Cohn has announced his resignation as the top economic adviser to President Trump, fanning fears of protectionist tariffs and a full-blown trade war. Markets tumbled on the news overnight, while the dollar slumped. Trump tweeted he "will be making a decision soon" on replacing Cohn, who oversaw a major revamp of the U.S. tax code and pushed for a significant rewrite of financial rules.
/ES Value: YVAH 2730 YPOC 2727 YVAL 2719
/ES Plan: Yesterday market closed leaving a bullish profile but Cohn exit has pushed overnight inventory lower, moving below yesterday's value. Cohn exit is a news driven event so SoC setup (2724) comes into play. As usual, we've these options:
A) If market remains above LIS 2695 with bullish internals, try to be a buyer leaning on 2695 towards ONH 2709 YVAL 2719 and SoC 2724. 'Look above and fail' is a signal of weakness.
B) If market starts to move below LIS 2695 with bearish internals, try to be a seller leaning on 2694 towards ONL 2681 and LVN 2678. 'Look below and fail' is a signal of strength.
Today's Economic Calendar
10:30 EIA Petroleum Inventories
02:00 PM Fed's Beige Book
03:00 PM Consumer Credit
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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