S&P 500 Futures Trading Chart – July 9
Traders are slowly giving back gains in a quiet news cycle with markets biding their time into Fed Chairman Jerome Powell’s remarks later today.
Bullish undercurrents suggest that we will bounce off of deeper support levels. Note that there is a gap just below from the bounce last week under lighter volume.
Looking elsewhere, we see that Gold is fading to nearby support at 1391. The US Dollar is holding steady and bouncing back into our channel created several months ago. Powell chatter is certainly able to move these instruments so watch this shortly
THE BIG PICTURE – Daily momentum is positive to neutral and coming into daily support levels noted.
INTRADAY RECAP – Neutral to negative as traders move in to test support below. Selling ES near failed test of 2981 with stops a bit tighter- or buying near 2955 – with tighter stops also. Getting chopped up would be likely so watch your size. Whipsaw is likely between these two levels. Holding 2970.5 is a critical zone on the bounce back – so far we are losing this, suggesting more downside before the bounce at the 2955 level.
TRADING OUTLOOK: Positive to neutral slant. Bounce action is very important today. Savvy traders can use deep dips to engage.
The author trades stock market futures every day and may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.