Outlook 01/22: Equity markets are heading lower as the U.S. comes out of a holiday weekend, after the IMF trimmed its world growth outlook for 2019 to 3.5% from 3.7% previously, partly due to the negative impact of U.S. and China tariff increases. Risks to economic growth are “tilted to the downside", citing the threat of a widening trade war, Brexit and a steeper-than-anticipated slowdown in China.
Asian markets finished weaker, after the government said the economy grew by 6.6% in 2018, the slowest annual pace since 1990. European bourses also opened in the red, with the FTSE lagging following reports of continued Brexit resistance.
/ESH19 Value: YVAH 2676 YPOC 2668 YVAL 2656 GAP 2671.50
/ES Plan: On Friday market closed bullish (PBT 2700) but, after U.S. holiday, overnight looks more bearish (GBT 2535.75), moving below previous range, so we've these options:
A) If market remains above HVE 2652 with bullish internals, become a buyer towards ONH 2666.25 GAP 2671.50 and HVE 2684.
B) If market starts to move below 2652 with bearish internals, sell towards ONL 2649 GAP-GBT 2635.75 LVN 2626 and HVE 2620.
Today's Economic Calendar
10:00 Existing Home Sales
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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