Strong Upside Bias For Index Futures
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 up 3 points and the Bond market is up 3 ticks.
Strong Upside Bias For Index Futures
Tonight, we have six buy signals on the Market Bias Page. This is the most signals pointing in one direction that I have seen in a long time. As you know, there are no guarantees in trading, but when you see this many signals, it pays to take heed, especially in light of the overnight action
On the Pullback from Highs List, both the June S&P [SPM9>SPM9] and June Dow Junes [DJM9>DJM9] closed well and have begun to pivot back upwards. This combined with the multiple buy signals suggests that there may be some opportunities on the long side.
Although we had many futures making 10 day new highs, all on the list seemed to be stalling out and may offer shorting opportunities. The June British Pound [BPM9>BPM9] looks most interesting after gapping open higher this morning, selling off and closing poorly to form a Turtle Soup Plus One Sell Setup. May Soybeans [SK9>SK9] also looks similar to a Turtle Soup Plus One sell setup.
On the Pullback from Lows List, both May Silver [SIK9>SIK9] and June Gold [GCM9>GCM9] are consolidating after a strong thrust down. The fact that these metals can’t rally when there’s a war going on suggests that there is further downside.
Best of luck with your trading on Thursday!
Dave Landry
Director of Research
TradingMarkets.com