I had a profit Target for the ES @ 2264 during the 2016 Election cycle. We completed and exceeded it by a wide margin – the draw was to 2520 as I suggested back in December based upon channel continuation – we hit 2488. Not too far off, if it is indeed complete for this move.
We never had a pullback – it may well have finally arrived.
During 2015 & 2016 – August served as retracement month for the Broad Indices. Will August of 2017 provide a pullback into support?
We will know shortly – we broke the longs on the sideways consoldiation trade. There is the potential for a new measured move from Lows to Highs.
Resistance is 2475 – with 2478 as the 12 tick overhead absolute.
We have broken a number of technical Longs on the YM as well… a break of trend and failed the series.
The Dollar remains above the absolute support @ 91.88, but remains a very Negative setup – The Yen is straddling the 111s with 109s on deck.
The NQ is no different – same rules apply.
Shorts will chase the swoon down, setting up the next short at the new draws off the bottom – I will complete those when available.
The Crude Oil inventory will set the trade going forward – resolution of consolidation – up or down.
The DX/JPY is within its fifth week of spreading. Last week was a large consolidation. Overnight we sold off… leading us back to 109.50 & 109.35.
110.25s would be the next entry into the trend.
Gold & Silver continue to rally inside of their longer term trends – 1288/91 and 1338 are in play. The overnight daily draw hit to the tick off the 6/6 highs to the 7/7 lows.
I’ve had to flip at this juncture and reverse the trade. There is no short trade, not yet. It’s been blown out and when the market moves against your thesis – you obey.
Everything is about to flip – this is the markets message.
Every week we have rallied into the close of the week – the one exception – last week. Support levels traded while the DX/JPY found support. Gold & Silver retest the 38.2% and 50% Short. The resistance levels are DX/JPY – we need to watch the pair closely for pullbacks that lead to new highs and higher yearly highs.
Silver is breaking up, the next measured long would trade off a retracement – by the numbers.
The Bond Market has been defending Long setups for Six Months… a pullback is to be expected – then resumption of the trend.
Everything is about to change – we need to adapt and obey.