Good morning, everyone, and a happy new week to you!
Hey, what's sullen old Tim so cheerful about? The /ES is up, and when he went to bed, it was down hard! What gives?
Well, for one thing, it looks like the markets are open (phew!), so I can trade. Second, I actually would prefer a bit of strength right now. I've got more shorts I'd like to enter, and doing so into a early-morning swoon isn't really my cup of tea.
You can see last night's mini-plunge and the recover enveloped in red below. There's a lot ton of overhead supply, highlighted in yellow.
The thing to watch, of course, is EUR/USD. I think a very modest recovery might be in the cards, and I mean modest. I see 1.2108 as a line of minor resistance and 1.2141 as much more meaningful resistance. That's only 1.5% above current levels, and I'm not even sure it'll get that high.
Good luck today; I think this is going to be a really, really interesting week.
