As we have now reentered the highest volume value area and slightly exceeded its point of control at 1063.00 (also just shy of weekly S1), absent an unlikely selloff on the close below 1055.50, longs should be able to continue the push into month-end, tomorrow.  However, as we noted in the morning report, it is a heavy news day, so attention is warranted.  Monday, ISM will likely disappoint, but Wednesday’s FOMC announcement and Friday’s Employment Situation are statistically bullishly skewed over the last two years, so the current mini-rally could conceivably take the ES to test ~1080, or even the ~1100 high by next Friday.  This is the ideal scenario for the longs; however, there appears to be more that can go wrong for the bulls than bears, with shorts able to seize on weakness more easily.  Today’s call was relatively easy given the GDP gift.  We don’t expect to many others in the near future.

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Disclaimer: The information presented on this site is for educational purposes only. No personal trade recommendations are being made hereby. Trading futures is highly risky and you can lose a substantial amount of money. Past performance is not necessarily indicative of future results.

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