The Waiting Is The Hardest Part
Sorry to steal a Tom Petty line, but it certainly defines today’s trade. The market is waiting on the courts and nobody is willing to get a two-way trade going as players are on the sidelines.
Today’s range in the SPZ is only 10.50 points, not even 1%. And I expect this to stay true until the afternoon. I think the key area will be how the market continues to respond around 1312-1310. If we sustain bids in this area, I am looking for 1330. However, if we trade through this level, I think 1297 — last week’s low will be exceeded.
This mooring should be used for traders, at least those of us who trade the index futures, for research and trading scenarios. One of my scenarios is a further probing on the downside followed by a very emotional two-day rally that could take us to 1375. In the meantime, keep it close to the vest and expect a choppy, thin trade until after the Supremes announce.