The Precise Take – ES again testing 1037–three times a charm?

Big Picture Analysis:  Yesterday’s short term downward trend channel breakout in the ES failed, with equities grinding down all day, and lower overnight.  The ES is once again testing 1037 support, with a low likelihood of it holding.    Even the much lauded Treasury futures downward reversal on Friday has itself been nearly reversed.  The Euro is strong against most currency crosses overnight, save the Swiss Franc, which ominously broke 1.3000 support.  It looks as though preference for risk is being withdrawn across the markets, with the leaders broadcasting the potential for more.  Today features five economic reports, though none is as big as tomorrow’s ISM or Friday’s Employment Situation.

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