Employment Report Coming
Each evening we focus on the most interesting aspects for the upcoming trading day. The comments are based on observations of the nightly updates of the Futures and Market Bias pages. They are provided for educational purposes only and are not intended to be direct trading advice. Also, keep in mind that these remarks are made up to 12 hours in advance of the markets opening. Therefore, overnight events may alter the outcome of these observations.
At the time this is being published, the S&P Globex Futures are trading .50 points higher and the Bond Market Futures are trading down 1 tick.
Heads up, the Employment report is scheduled for release tomorrow morning. This will likely cause volatility in both the bond and stock markets in early trading.
Tonight we have 3 indicators pointing lower on the Market Bias Page. Also of interest is the fact that the December S&P [SPZ9>SPZ9] and Dow Jones [DJZ9>DJZ9] are pullbacks from lows that closed poorly and the fact that the ND100 [NDZ9>NDZ9] is stalling out at its old highs. All of the above suggests that we could have a downside day tomorrow. Look for shorting opportunities in these index futures.
March Pork Bellies [PBH0>PBH0], mentioned last night, still looks interesting to me. Continue to look for a buying opportunity here.
November Feeder Cattle [FCX9>FCX9], on the Pullbacks Off Highs List, closed well and looks poised to resume its uptrend. Look for a buying opportunity here.
December Coffee [KCZ9>KCZ9], mentioned last night and on the Pullbacks Off Lows List, closed poorly and looks poised to continue its downtrend. Continue to look for a shorting opportunity here.
Best of luck with your trading on Friday!
Dave Landry
PS-Reminder: Protective stops on every trade!
PPS- The oil complex appears to be melting down. We might get some good shorting opportunities here on the first pullback. Stay tuned!