As it turns out, no deal was imminent in Washington D.C. over the weekend, despite what the rally in stocks late-last week was perceived as insinuating.
Futures are lower as I write this. To my eye, 1680 is going to be the first major support level to watch overnight on the S&P 500 Index futures. Below there, I suspect the selling picks up steam. For now, we are seeing some expected giveback after the V-shaped rally off the recent pullback.
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I will be back later tonight.
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Just checked myself Chess. Futures down .81% I’m expecting full retrace to take all S&P gains from this pseudo rally at the end of the week. 1660 by mid day Tuesday without a deal isn’t out of the question. Bears are ready to pounce.
Thanks, Ak. Let’s see how it plays out!
technicals don’t really matter in this environment. deal done = rally. no deal = drop
@janri7: My concern is that the notion you laid out is too popular of an opinion now, even too obvious. Deal done = rally and vice versa.
technicals always matter