SubscribeDaily Futures Commentary June 23, 2009
Tuesday, June 23, 2009
Light volume and erratic movement is expected to dominate the market today, one day ahead of the FOMC meeting. Investors are not likely to put on big positions, and traders are likely to move the market in both directions to generate activity.
Today is likely to be a counter-trend day as yesterday’s sell-off in the equities may have been overdone. The stock market has been breaking on changing market sentiment. Fresh buying seems to have dried up at the high levels. This may be because traders who bought the bottom or near the bottom are more willing to take a little off the top rather than add to the winning positions.
Equities have had a great rally this quarter, but the percentage gains they have achieved are probably too hard to maintain. The break we have been seeing this week is most likely a sign of lower markets to come. Short-term this market is slightly oversold which means today is likely to be a counter-trend day. The September E-mini S&P 500 chart indicates a strong possibility of a rally back to 905.00 over the next two days before …
Read More …
Loading ...
