Welcome back from the long weekend. Good Lord, I can’t stand those things. And don’t even get me started on how I’m going to be flipping out on Juneteenth. Having two three-day weekends in just a few weeks time is, to me, positively revolting. I suppose I should set aside my hatred of holidays and focus on the fact that at least we get to trade between now and Memorial Day. Sheesh, people can be lazy.
Anyway.
My screens have a goodly amount of red on them, which is a handsome start to the week. The high-fiving, back-slapping, and tongue-sucking the bulls were engaged in after the jobs report has been blown to smithereens. Here we see the /NQ, augmented with an arrow showing the elation they were (briefly) sharing at the jobs report.
The /ES, as highlighted with the rectangle, managed to push above its trendline resistance last week, but that was smacked back down to where it belongs. The challenge at this point is to take out Thursday’s intraday low.
As for crude oil, the market manipulation the peace-loving chaps of OPEC foisted upon the market a week ago is still intact, as oil is banging within a tight range and seems to have found an equilibrium of sorts.
I am coming into the day positioned as follows:
- 20 equity shorts (long puts);
- 2 ETF shorts, IYR and EFA (long puts)
- 14.7% cash, ready to deploy
Remember the big even this week is the morning after tomorrow, at which time the CPI comes out and our bullish buddies get to promote fantasies about pivots and dovish Feds and government bailouts. Their cranial capacity is far too limited to go beyond these musings, so let them have their fun.
