Outlook 12/14: Stocks across the globe are losing ground after weak economic data from China and Europe fanned concerns of a worldwide slowdown. Traders had anticipated a "Santa Rally" might have arrived following a rough December start for equities, but current sentiment may now signal a dead-cat bounce.
/ESZ18 Value: YVAH 2659 YPOC 2649 YVAL 2643 GAP 2644
/ES Plan: Yesterday market closed balanced but overnight looks more bearish, moving below previous value, into 2652-2620 range, so:
A) If market remains above HVE 2620 with bullish internals, be a buyer towards YLOD 2637 GAP 2644 ONH 2648.75 and HVE 2652.
B) If market starts to move below 2620 with bearish internals, be a seller towards ONL 2613.50 LVN 2605 and PBT-LVN 2597-95.
Tips: Rollover starts. Pace of the Roll now is around 45%. I'm still quoting /ESZ18 until new /ESH19 increases to equal volume of December. Usually rollover days show big divergences between Stocks vs. Futures, so setups that usually work well, may fail completely. Be cautious today during Initial Balance (1st Hr) until both contracts show a clear bias.
Today's Economic Calendar
09:45 PMI Composite Flash
10:00 Business Inventories
01:00 PM Baker-Hughes Rig Count
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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Glossary of terms
