Outlook 06/25: U.S. equity futures dipped 0.2% overnight, setting up the SP500 for its first three-day decline since early May. Market focus is also largely attuned to the U.S. central bank, with no less than four Fed policymakers. Jerome Powell takes the stage at 11am ET, just 24 hours after President Trump accused the central bank of behaving like a "stubborn child" in refusing to lower interest rates. The Fed Chair is likely to reiterate or intensify a recent dovish turn on interest rates, but there's also the possibility he could walk back some of the market's dovish interpretation of last week's FOMC meeting.
/ESU19 Value: YVAH 2959 YPOC 2957 YVAL 2953 GAP 2952.25
/ES Plan: Yesterday market closed balanced but overnight looks more bearish (GBT 2936), moving below Yesterday's value, so these're the options:
A) If market remains above HVE 2948 with bullish internals, buy towards GAP 2952.25 YVAL 2953 ONH 2958.25 and HVE 2962.
B) If market starts to move below 2948 with bearish internals, sell towards ONL 2942.25 HVE-GBT 2936 and GAP 2833.25
Tips: Volume is key. If we break out of a trading range and volume decreases, probably it's not going to be a successful break, but if we break and volume increases then we've a good chance to get a successful breakout.
Today's Economic Calendar
10:00 Consumer Confidence
10:00 Richmond Fed Mfg.
10:00 New Home Sales
12:00 PM Fed's Bostic Speech
01:00 PM Jerome Powell Speech
01:00 PM 2-Year Note Auction
06:30 PM Fed's Bullard Speech
Questions via @verniman direct message (RTH) or email (After Close).
Glossary of terms
