Outlook 08/27: Reassuring comments from Jerome Powell at the Jackson Hole Symposium in Wyoming are sending futures higher to start the week. The Fed Chair said the central bank would likely continue with its policy tightening if the economy continued to strengthen, but a "gradual approach" to rate hikes remains appropriate to protect the U.S. economy and job growth. Powell last week came under fire from Trump, who said he was "not thrilled" by the Fed's raising of rates.
/ESU8 Value: YVAH 2877 YPOC 2875 YVAL 2870
/ES Plan: On Friday market closed leaving a bullish profile (PBT 2893), and overnight auction has printed new all time high, moving above Friday's range, so we've these options:
A) If market remains above LIS 2885 with bullish internals, become a buyer above 2885 towards ONH 2888 and PBT 2890-2893. 'Look above and fail' is a bearish signal.
B) If market starts to move below LIS 2885 with bearish internals, try to lean on 2885 towards GAP 2877.75 and LVN 2870. 'Look below and fail' is a bullish signal.
Tips: Overnight inventory is bullish (PBT 2890) leaving new All Time High (ATH). Remember that new highs printed during ETH sessions should be revisited at NYSE regular trading hours (RTH).
Today's Economic Calendar
10:30 Dallas Fed Manufacturing Survey
01:00 PM 2-Year Note Auction
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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