FOR MONDAY: (2/26) Not sure there‘s anything huge pending over the weekend. The week before employment report usually has a big-range Monday and then a lot of congestion. NQ made new highs on the move and should pull the S & P. Not sure that bears can hope for anything meaningful this week but month-end profit-taking should hit from Monday into Wednesday. Dollar looks lower this week and has failed to break higher to 9050 or 9080 and we’re not into selling with the change of trend.
MARCH E-MINI S & P 500
TRADING RECOMMENDATION: Wait for morning comments.
S & P ANALYSIS FOR MONDAY: (2/26) The move back up to 2750 was enough to satisfy a pattern but minor patterns suggest 2758 with acceleration above 2760 leading to 2785. NQ took out recent highs and should pull the S & P up. Sunday looks lower with a recovery on Monday. Month-end profit-taking likely into Wednesday but not expecting any huge sell-off, and even a pullback to 2671 would seem about the most extreme. In the end we’re still favoring 2802 into the first few weeks of March, and it won’t take much to get there. The larger swing off of the 2530 region from Feb. 9 may not be done until 2802 comes in, and the ideal time window for that may be March 5 to 8 but it could go longer. Seasonal weakness into late March has a better chance for whippy action and retest of 2600.
CYCLE SYNTHESIS: Topping/lower Sunday; recovering Monday; lower into Wednesday.