Outlook 05/30: The U.S. economy grew by 3.1% to start the year, slightly better than expected and providing some relief when recession fears are accelerating. Gross domestic product beat the 3.0% estimate but was lower than initial 3.2% projection from the Bureau of Economic Analysis. The decrease came due to downward revisions to nonresidential fixed and private inventory investment, two key drivers to GDP. Futures are heading higher ahead of the data, following last night's slump that came amid a protracted trade dispute and intensifying yield curve.
/ESM19 Value: YVAH 2789 YPOC 2781 YVAL 2776 GAP 2780
/ES Plan: Yesterday market closed balanced but overnight looks bullish (GBT 2804) moving a few ticks above yesterday's value, so options are:
A) If market remains above LIS-HVE-YVAH 2789 with bullish internals, buy towards ONH 2793 GBT-GAP 2804 and HVE 2808-2814.
B) If market starts to move below YVAH 2789 with bearish internals, sell towards HVE 2784 ONL 2776.75 and HVEs 2775-2769.
Tips: Don't force trades. Let the trade come to you. If you go looking for a trade, which is what most traders believe that they should be doing, they are likely to find one. However, the odds are that it will not work.
Today's Economic Calendar
10:00 Pending Home Sales
10:30 EIA Natural Gas Inventory
11:00 EIA Petroleum Inventories
12:00 PM Fed’s Clarida Speech
Questions via @verniman direct message (RTH) or email (After Close).
Glossary of terms
