Outlook 06/24: After hitting record highs last week, the market will be put to the test this week. Tensions have been running extremely hot between the U.S. and Iran, after a U.S. surveillance drone was shot down last week. President Trump nearly waged a military strike before ultimately calling off the operation. Furthermore over the weekend, the Trump administration indicated that Iran could face new sanctions, but that U.S. is prepared to negotiate with Iran without any preconditions. Oil prices continued to rise Monday morning amid tensions.
/ESU19 Value: YVAH 2961 YPOC 2958 YVAL 2954 GAP 2951
/ES Plan: On Friday market closed balanced and overnight continues on that way, moving within Friday's value, so these're the options:
A) If market remains above YVAL 2954 with bullish internals, buy towards ONH 2961.75 HVE 2962 ATH 2969.25 and PBT 2985.
B) If market starts to move below 2950 with bearish internals, sell towards ONL 2947.25 HVEs 2943-2936 and GAP 2833.25
Reminder: Trade the AM session for liquidity. Avoid to force trades after European close, when volume dries up and risk increases. Otherwise, just wait for US Bonds close (3PM ET) and then look for more liquidity near the NYSE closing bell (4PM ET).
Today's Economic Calendar
10:30 Dallas Fed Manufacturing Survey
Questions via @verniman direct message (RTH) or email (After Close).
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