Outlook 07/03: U.S. stock index futures are following European equities higher, with the Euro Stoxx 50 up 0.9% at midday after IMF Managing Director Christine Lagarde was nominated as the new head of the ECB. Lagarde is expected to continue the dovish policies of current chief Mario Draghi, whose term expires on Oct. 31. Oil is up, while 10-year yields dipped to the lowest since Nov. 2016 following a disappointing run of economic data. Private payrolls rose 102,000 in June, missing 135,000 expectations0, according to a report from ADP and Moody’s Analytics.
/ESU19 Value: YVAH 2971 YPOC 2966 YVAL 2964 GAP 2979.75
/ES Plan: Yesterday market closed bullish and overnight action continues on that way (PBT 2999), moving above Yesterday's range, so the options:
A) If market remains above LIS YHOD 2980 with bullish internals, buy towards ONH 2988.25 and PBT 2999.
B) If market starts to move below 2980 with bearish internals, sell towards ONL 2973.75 and HVE 2970.
Reminder: Major U.S. exchanges, as well as equity futures and options, will close at 1pm ET and will remain closed tomorrow for the Fourth of July holiday. Things will be back to normal on Friday, with NFP data.
Today's Economic Calendar
09:45 PMI Services Index
10:00 ISM Non-Manufacturing Index
10:00 Factory Orders
10:30 EIA Petroleum Inventories
12:00 PM EIA Natural Gas Inventory
Questions via @verniman direct message (RTH) or email (After Close).
Glossary of terms
