Bidding Some Time

S&P 500 didn‘t swing even temporarily higher yesterday, refusing to act on relatively bullish signs from bonds. No turnaround, Nasdaq was also flat – and the volume declined in both. Fresh sellers wanted, nowhere to be found. Well, commodities had a good day, driven by crude oil‘s sharp reversal on Muhammad bin Salman‘s words about potentially reducing output, which the paper markets promptly got. Agricultural stocks also started doing better – ADM, BG, DBA, and the like including CORN.

Yet, copper‘s sharp upswing was rejected at $3.73, as the bulls were unwilling to run too far, too fast. Cryptos not following through entirely on the bullish cues – Ethereum short profits taken off the table – means that we‘re in for a relatively muted upswing (attempt) in stocks. Until the Jackson Hole uncertainty is removed, that is. Given that I look for VIX to remain in the 22.50 – 24 range today, it means a relatively narrow range in the S&P 500 ahead.

To feel the daily pulse, let‘s move right into the charts (all courtesy of www.stockcharts.com) – today‘s full-scale article features good 6 ones.
 

Crude Oil

crude oil

Crude oil is on a tear, and I look for it to be well bid. Given the run‘s confirmation by oil stocks, that says a lot about stock market prospects (bearish as oil is the shadow Fed funds rate).
 

Copper

copper

Copper is starting to hesitate, and unless $3.74 is broken, has a lot of potentials to correct recent strength. Other base metals appear to agree.
 

Bitcoin and Ethereum

Bitcoin and Ethereum

Cryptos are still hesitating, and I am not looking for surprising moves either way today.


More By This Author:

In A Heartbeat
Enticing The Bears
It Started

Subscriber to Monica‘s Insider Club for trade calls and intraday updates. more

How did you like this article? Let us know so we can better customize your reading experience.

Comments