Europe rallied on Monday and sold off hard overnight and this morning. The ES US S&P 500 continuous 24 hour futures mimicked that move. As of 5 AM in New York, they’ve managed to hang on to an uptrend by a hair. But they’re on the cusp of a sell signal. They need to be below 3800 at 10 AM ET, for the uptrend to be broken.
Even if that happens, it looks bumpy below, with additional sport lines around 3785, 3770, and 3765, any or all of which could be the bases for bounces.
If they manage to maintain the uptrend, it probably won’t be straight up, either, with multiple resistance lines between 3820 and 3860.
Overall, the indecision range looks like 3765 to 3860. Between those lines is random positioning. But breaking one or the other should lead to a nice move. Looking at the hourly oscillators at 5 AM, the most likely move is down.
To better understand the big picture right now so that you can take the correct action when the time is right, check out the following:
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- We Knew QT Would Be Devastating, But You Ain’t Seen Nothing Yet June 21, 2022
- Dealers Assume the Position, as 75 BPs Coming Wednesday June 13, 2022
- The US Economy, Including Jobs, Collapsed in May June 2, 2022
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