Outlook 05/09: U.S. stock futures point to a lower open as trade tensions escalate. President Donald Trump said on Wednesday that China "broke the deal" in trade talks with Washington and would face stiff tariffs if no agreement is reached. China's vice premier arrives in Washington for trade talks even as the country warns that it will retaliate if President Trump makes good on his threat to boost tariffs on Chinese goods Friday.
/ESM19 Value: YVAH 2892 YPOC 2883 YVAL 2879 GAP 2886.50
/ES Plan: Yesterday market closed balanced but overnight looks more bearish, moving below yesterday's range, so we've these options:
A) If market remains below LIS HVE 2857 with bearish internals, sell towards HVEs 2850-2846-2842 and GAP 2839.75.
B) If market starts to move above 2857 with bullish internals, buy towards LVN 2864-2867 and HVEs 2873-2878-2883.
Tips: We're on high volatility days so your first trading rule is 'manage your risk'. Regardless of how much more money you could have made, you do realize that you just can not manage risk on this enviroment. When volatility rises and you see a thin order book, I recommend to stay aside until markets recover a 'normal' tradable regime.
Today's Economic Calendar
10:00 Wholesale Trade
10:30 EIA Natural Gas Inventory
10:45 Fed's Bostic Speech
01:00 PM 30-Year Note Auction
01:15 PM Fed’s Evans Speech
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.
Questions via @verniman direct message (RTH) or email (After Close).
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