The price appears to have found a , and is still hovering well above the rising 72 period .
Furthermore, the US 10 year bond yield ( US10Y 1.21% ) has risen, indicating that money is leaving the bond market. Some of it might flow into the stock market, allowing Wall Street to hit new all time highs.
I am trading this through a buy stop limit order at the specified price on the chart in case there is further consolidation, or the price goes down instead of up. My target will be the next area of consolidation.
Moved stop loss to below support zone in case it holds and provides a bounce. I still think this market is going higher, but it may need to burn some more off before that happens. Or not. We shall see.
Ideally we hear a dovish fed lift the market. At worst I'll be eating stop loss pie for dinner.
Tomorrow we have the NFP (Non Farm Payroll) numbers. Some are expecting a massive increase in employment after hurricane-affected September.
The ADP report revealed an increase in private employment of 235k and the ISM from the manufacturing sector was strong. Because the ADP for September showed a gain in employment of 110k, we can assume tomorrow's NFP will be stronger too, possibly making the forecast of +314k within reach.
This could have a positive effect on Wall Street, allowing this trade to end the week with a profit.
The Saudi crisis has taken the sheen of the markets today, just when I was hoping things were finally picking up.
Moved my stop loss closer to breakeven. Interesting to see if this market does finally roll over.
Lord knows we need a correction. A decent pullback would the so nice right now to clear the way for a move higher.
No profit, no loss.
Back to the charts!