E-Mini SP 500

bad news is good news, means FED rate cut is in store for the future.

continued price progression up, market wants to test upper zones in ES/usdjpy/ym.

looking at the chart, 1540 cash with a 12 point differential between spot/futures implies 1552 retest. Will take 1546-48 zone.

if you look at the channel structure and the 12 point differential, futures at 1537-12 = 1525 on cash, the trendy comes in at 1525 on cash... thats why prices stalled here, I expect to bust through this and test true resistance first at 1542 second at 1552 in futures.

differential chart between esz07, and cash.

intermarket arb opportunity, equities are sluggish whereas bonds have more force. Equities catch up or bonds reverse the downward momentum, and hang at the current prices.

arb being closed up, =)....

bonds momentum died down and retracing up slightly. Equities need to bust higher for bonds to continue declines.

equities busting higher..implies bond boys are buying the futures, so they can run bonds further down, expect to see USZ07 109 handle.

I enjoyed your charts chris. Thanx for the education.


We are waiting for you at ES man. Come on, don't be a stranger.