Good Morning Traders!
The SPs breached the previous daily swing low. 1968.oo is now the most important pivot to the upside basis Dec SP futures. The Dow futures did not yet take out this swing low though the DJ index closed on its lows. Most of the damage was done in the first hour of trading and the futures spent the rest of the day consolidating. Thus, there should not be the same choice Z day plays on Friday. Buy a morning flush below the previous day’s low. Do not buy afternoon weakness. Conversely, any early morning reaction up is a shorting op for a retest back down. The Gold and Silver put in a nice test of the previous swing low. They can retest back up towards the upper end of their four day trading range. It might be a one day wonder attempt only as the downtrend is still intact. A further rally in the bonds to the 137’05 – 138’16 zone is a shorting opportunity as they are well up off their recent lows and short term overbought. Copper has an interesting breakout coil. It is hard to imagine any market left with much trend opportunity for friday after the week the market has given us!
Crop report on Monday……no significant economic numbers for Friday morning.
Have a great weekend!