Outlook 01/09: Stocks Futures move higher after U.S.-China trade talks were extended for an unscheduled third day, fueling optimism that the world's largest economies can avoid an all-out confrontation. Progress was seen on issues including purchases of U.S. farm and energy commodities, as well as increased access to China's markets, but the two sides are still ways apart on Chinese structural reforms that would stop alleged theft and forced U.S. technology transfer.
/ESH19 Value: YVAH 2577 YPOC 2571 YVAL 2560 GAP 2572
/ES Plan: Yesterday market closed bullish (PBT 2595) and overnight is still moving above previous value (GBT 2599), so we've these options:
A) If market remains above YVAH 2577 with bullish internals, become a buyer towards ONH 2587.25 PBTs 2595-2599 and HVE-PBT 2620.
B) If market starts to move below 2577 with bearish internals, sell towards GAP 2572 ONL 2568.50 HVE-YVAL 2562-60 and HVE 2539.
Tips: Usually, after 10am ET data, market moves in sequences of 30m. The most profitable 30-minute sequences are the 30m after IB close (10:30 AM) and EU close (11:30 AM ET). Then it is followed by the first 30 min from the NYSE opening bell, the reversals of 10AM-11AM and the last hour before the NYSE close. The most erratic and less profitable schedule is the one that goes from Lunch 12PM to 3PM Bonds close.
Today's Economic Calendar
10:30 EIA Petroleum Inventories
11:30 Fed's Rosengren Speech
01:00 PM 10-Year Note Auction
02:00 PM FOMC minutes
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
Questions via @verniman direct message (RTH) or email (After Close).
Glossary of terms
