Global futures are rebounding on Monday after a bearish close on Friday, and the worst week for markets since October. The SPY is catching a strong bounce off the 50 day MA, and is working its way toward the 21 day EMA at 376.80 as we approach the open. I expect to see strong resistance here, and a continuation of the downtrend from last week, toward the 50 day MA at 370.80. The Nasdaq ( QQQ ) is poised to open above it's 21 day EMA , also, which is sitting around 317.56. If QQQ sees a rejection at the open, our first target is the 50 day MA at 309. On the Russell (IWM ), we're currently trading above the 21 day EMA, with the 50 day MA sitting around 196.56.
The Vix is seeing some pressure at the moment, as the indexes rebound. But, we're looking strong at a 31 handle as of 9AM. I suspect we may be nearing the lows of the week, with Vix about to see another leg higher, possibly to a 40 handle by Friday. The dollar ( DXY ) is notably higher this morning, and is approaching a 91 handle. We're testing the neckline again, and may be on the verge of a break out. Bitcoin is still holding on to some of it's recent gains; we're currently trading at a 33k handle, and flat on day. Keep an eye on Silver today, as the WSB crowd continues to hammer the most shorted securities, of which, Silver seems to be the latest focus. SLV was up over 9% in pre-market trade.
Looking at the week ahead, according to Robert Greil, Chief Strategist at Merck Finck Privatbankiers AG, "Markets will concentrate again on the really important developments: ongoing vaccination and therefore brightening outlooks regarding re-openings with increasing activity, paving the way for pent-up demand driving the economic recovery.” I literally laughed when I read this quote. He may as well have said, "everything is awesome, so investors are feeling pretty awesome, and we'll see something happen this week that's awesome." You'll rarely ever hear a negative outlook from the sell-side; their job is to acquire, and keep your money invested. Just something to keep in mind when you're reading about, or discussing different market outlooks.
Thanks for your time today guys, and I hope you enjoyed the analysis! Check us over at the Hedge of the World website for our live daily play-by-play. Cheers, Michael.
*The information and analysis shared in this post is not financial advice. Always conduct your own analysis and research. I am/ we are currently holding positions in UVXY , HUV , HQD , QID .
The Vix is seeing some pressure at the moment, as the indexes rebound. But, we're looking strong at a 31 handle as of 9AM. I suspect we may be nearing the lows of the week, with Vix about to see another leg higher, possibly to a 40 handle by Friday. The dollar ( DXY ) is notably higher this morning, and is approaching a 91 handle. We're testing the neckline again, and may be on the verge of a break out. Bitcoin is still holding on to some of it's recent gains; we're currently trading at a 33k handle, and flat on day. Keep an eye on Silver today, as the WSB crowd continues to hammer the most shorted securities, of which, Silver seems to be the latest focus. SLV was up over 9% in pre-market trade.
Looking at the week ahead, according to Robert Greil, Chief Strategist at Merck Finck Privatbankiers AG, "Markets will concentrate again on the really important developments: ongoing vaccination and therefore brightening outlooks regarding re-openings with increasing activity, paving the way for pent-up demand driving the economic recovery.” I literally laughed when I read this quote. He may as well have said, "everything is awesome, so investors are feeling pretty awesome, and we'll see something happen this week that's awesome." You'll rarely ever hear a negative outlook from the sell-side; their job is to acquire, and keep your money invested. Just something to keep in mind when you're reading about, or discussing different market outlooks.
Thanks for your time today guys, and I hope you enjoyed the analysis! Check us over at the Hedge of the World website for our live daily play-by-play. Cheers, Michael.
*The information and analysis shared in this post is not financial advice. Always conduct your own analysis and research. I am/ we are currently holding positions in UVXY , HUV , HQD , QID .
