Chop on this
News Trading Desk Morning Macro News
Morning Macro News
posted by CAPIS on 05/13/2015 at 7:17 am
by CAPIS on 05/13/2015
Happy Wednesday to you all! How fun is this market, eh? SPX continues to show 2120ish resistance, and 2180-2100 value / support. The sideways action continues, and the day-trader is getting pushed and pulled this way and that. The SPX dropped more than I expected on Monday, which was a clear signal that the NFP move higher was not as lovely as all hoped. Tuesday we got another push down to the flat 50 DMA and the monthly PP (the low was also near S2 on ESM5) where selling abated and saw us climb right back to 2100 (which continues to be the ultimate Pivot / Point of Control for the last month… buy anytime below 2100 back to 2100; sell anytime above 2100 back to 2100; wash, rinse, repeat). When will this end? When will the chop no longer cut it? We have the fastest trends (the 5, 10, and 20 DMAs) all within a few points of the medium term trends (50 and 100 DMAs). The 200 DMA is now at 2032ish. The market continues to consolidate “up here” near 2100, and trends get flat as no trend exists. What if no catalyst comes? I think, ultimately, what…