FOR TUESDAY: (7/11) Trade waiting on Yellen testimony on Wednesday but not expecting much shocking news. Stocks look higher and metals lower and oil lower and dollar lower a few days in congestive downward action.
SEPT. E-MINI S & P 500
TRADING RECOMMENDATION: Wait for morning comments.
S&P ANALYSIS FOR TUESDAY: (7/11)The most likely movement up this week is toward at least 2440 if not 2450 in the more bullish case. S & P couldn’t get through 2430 and will probably hold 2420 overnight. Market may be higher overnight and sideway on Tuesday. Still we have a bias toward higher and slosh prices.
WEEKLY CHART: We ran cycles through August and they are mixed. We are not thinking that the market will fall apart dramatically in July, but we doubt that there’s enough time and room for 2520 to come in this summer before things get complicated August-October. The market does seem like it will hold up into July 5, retrace into mid-July and probably hold up into July 25. Seeing lots of congestive action and it may not fall apart until after August 5.
CYCLES OVERVIEW: Bottoming/recovering Tuesday; sideways to lower Wednesday; higher Thursday; sideways Friday.
