Outlook 06/21: Markets are expecting banks to announce large returns of capital to shareholders after the Fed today publishes the first set of quantitative results from its annual stress tests on 38 of the largest U.S. financial institutions. Higher profits on the back of tax cuts and rising net interest income will likely boost dividends and share buybacks.
/ESU8 Value: YVAH 2775 YPOC 2772 YVAL 2770
/ES Plan: Yesterday market closed balanced but overnight profile is bimodal (LIS 2773), moving within yesterday's value, so we've these options:
A) If market remains below LIS 2773 with bearish internals, become a seller leaning on 2769 towards ONL 2762 and HVEs 2760-53. 'Look above and fail' is a bearish signal.
B) If market starts to move above LIS 2773 with bullish internals, become a buyer above 2773 towards HVE 2779 and ONH 2785.25. 'Look below and fail' is a bullish signal.
Today's Economic Calendar
09:45 Bloomberg Consumer Comfort Index
10:00 Leading Indicators
10:30 EIA Natural Gas Inventory
01:00 PM 30-Year Bond Auction
04:30 PM Money Supply
04:30 PM Fed Balance Sheet
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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