Daily Morning Report

Wednesday, May 25–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed overnight. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins. U.S. trading may be more subdued early on today, ahead of this afternoon’s release of the minutes from the last meeting of the Federal Reserve’s Open Market Committee (FOMC). The marketplace will be looking for further guidance on the timing and pace of the Fed’s monetary policy tightening cycle, and on inflation prospects. Trading could become more active in the immediate aftermath of the 2:00 p.m. EDT release of the FOMC minutes.

The key outside markets today see Nymex crude oil futures prices higher and trading around $111.25 a barrel. Meantime, the U.S. dollar index is higher in early trading, on a corrective bounce from recent strong selling pressure. The yield on the 10-year U.S. Treasury note is fetching 2.729%. U.S. Treasury yields have been falling this week on a flight to quality move amid heightened concerns about the U.S. economy falling into recession.

U.S. economic data due for release Wednesday includes the weekly MBA mortgage applications survey, durable goods orders, the weekly DOE liquid energy stocks report and the minutes from the last FOMC meeting.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are slightly lower in early U.S. trading. Prices are in a seven-week-old downtrend on the daily bar chart and bears have the solid near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral early today. Today, shorter-term technical resistance comes in at this week’s high of 3,982.25 and then at 4,000.00. Support for active traders is seen at this week’s low of 3,872.00 and then at the May low of 3,807.50. Wyckoff’s Intra-day Market Rating: 4.5

June Nasdaq index futures: Prices are slightly lower in early U.S. trading. Prices are in a seven-week-old downtrend on the daily bar chart and bears have the solid technical advantage. Shorter-term moving averages (4- 9-and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day average is below the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term technical resistance is seen at the overnight high of 11,892.50 and then at this week’s high of 12,075.50. On the downside, shorter-term support is seen at the May low of 11,491.25 and then at 11,200.00. Wyckoff’s Intra-Day Market Rating: 4.5.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are slightly higher in early U.S. trading. Bears are still in overall near-term technical control but the bulls have momentum as a price downtrend has been negated and a fledgling price uptrend is in place. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term technical resistance is seen at this week’s high of 142 16/32 and then at 143 even. Shorter-term support lies at 141 even and then at this week’s low of 140 1/32. Wyckoff’s Intra-Day Market Rating: 5.0

June U.S. T-Notes: Prices are slightly higher in early U.S. trading. Bears are still in overall near-term technical control but the bulls have momentum as a price downtrend has been negated and a fledgling price uptrend is in place. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term resistance lies at this week’s high of 120.22.0 and then at 121.00.0. Shorter-term technical support lies at 120.00.0 and then at this week’s low of 119.15.5. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.5

EURO CURRENCY

The June Euro currency futures are lower in early U.S. trading, on a corrective pullback from recent good gains. Bears have the overall near-term technical advantage but the bulls have some momentum to suggest a market bottom is in place. The shorter-term moving averages for the Euro are bullish early today, as the 4-day is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Short-term oscillators for the Euro are neutral to bearish today. The Euro currency finds shorter-term technical resistance at this week’s high of 1.0757 and then at 1.0800. Shorter-term support is seen at 1.0650 and then at 1.0600. Wyckoff’s Intra Day Market Rating: 4.0

NYMEX CRUDE OIL

Nymex crude oil prices are higher in early U.S. trading. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are neutral to bullish early today. Look for buy stops to reside just above technical resistance at this week’s high of $111.96 and then at the May high of $113.20. Look for sell stops just below technical support at this week’s low of $108.61 and then at $107.00. Wyckoff’s Intra-Day Market Rating: 6.0

GRAINS

U.S. grain futures prices were lower in early U.S. pre-market trading. Grain market bulls have the overall near-term chart advantage but the keener risk aversion in the marketplace that has sparked heightened U.S. recession fears and more bearish weather patterns in the U.S. Midwest are keeping the bulls squelched at mid-week.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Tuesday, May 24–Jim Wyckoff’s Morning Markets Report

Global stock markets were mostly lower overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins. The U.S. stock indexes are in or near bear market territory, defined as 20% or more below their recent highs. Geopolitical and inflation worries are keeping equities market bulls squeamish.

In overnight news, China laid out a comprehensive plan to shore up its economy that has been hit hard by Covid lockdowns. The marketplace was unimpressed and showed little reaction to the plans.

Later today, Fed Chairman Jerome Powell will deliver remarks at an economic summit in Las Vegas.

The key outside markets today see Nymex crude oil futures prices slightly higher and trading around $110.50 a barrel. Meantime, the U.S. dollar index is sharply weaker and hit a four-week low in early trading. The yield on the 10-year U.S. Treasury note is fetching 2.797%.

U.S. economic data due for release Tuesday includes the weekly Johnson Redbook and chain store retail reports, the U.S. flash manufacturing purchasing managers index (PMI), the flash services PMI, the Richmond Fed business survey, new residential sales and the ISM semiannual economic forecast.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are lower in early U.S. trading. Prices are in a seven-week-old downtrend on the daily bar chart and bears have the solid near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral early today. Today, shorter-term technical resistance comes in at Monday’s high of 3,982.25 and then at 4,000.00. Support for active traders is seen at 3,900.00 and then at 3,855.00. Wyckoff’s Intra-day Market Rating: 4.0

June Nasdaq index futures: Prices are lower in early U.S. trading. Prices are in a seven-week-old downtrend on the daily bar chart and bears have the solid technical advantage. Shorter-term moving averages (4- 9-and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day average is below the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term technical resistance is seen at Monday’s high of 12,075.50 and then at 12,250.00. On the downside, shorter-term support is seen at the overnight low of 11,783.75 and then at 11,689.00. Wyckoff’s Intra-Day Market Rating: 4.0.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are higher in early U.S. trading. Bears are in overall near-term technical control. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term technical resistance is seen at the overnight high of 141 11/32 and then at the May high of 142 2/32. Shorter-term support lies at Monday’s low of 140 1/32 and then at 139 even. Wyckoff’s Intra-Day Market Rating: 6.0

June U.S. T-Notes: Prices are higher in early U.S. trading. Bears are in overall near-term technical control. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term resistance lies at 120.00.0 and then at the May high of 120.10.0. Shorter-term technical support lies at Monday’s low of 119.15.5 and then at 119.08.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.0

EURO CURRENCY

The June Euro currency futures are firmer in early U.S. trading. Bears still have the overall near-term technical advantage but the bulls have gained momentum to suggest a market bottom is in place. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is above the 9-day and 18-day. The 9-day is below the 18-day moving average. Short-term oscillators for the Euro are bullish today. The Euro currency finds shorter-term technical resistance at the overnight high of 1.0745 and then at 1.0800. Shorter-term support is seen at 1.0650 and then at 1.0600. Wyckoff’s Intra Day Market Rating: 6.0

NYMEX CRUDE OIL

Nymex crude oil prices are a bit higher in early U.S. trading. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are neutral to bullish early today. Look for buy stops to reside just above technical resistance at this week’s high of $111.96 and then at the May high of $113.20. Look for sell stops just below technical support at the overnight low of $108.61 and then at $107.00. Wyckoff’s Intra-Day Market Rating: 5.5

GRAINS

U.S. grain futures prices were mixed to firmer in early U.S. pre-market trading. Grain market bulls have the overall near-term chart advantage and continue to benefit from the “inflation trade” and global grain shortage due to the Russia-Ukraine war. Weather patterns in the U.S. Midwest will also be main market drivers for the next few months.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Monday, May 23–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed but mostly up overnight. U.S. stock indexes are pointed toward higher openings when the New York day session begins. The U.S. stock index bulls are still on the ropes as the major indexes last week hit 12-month lows and are at or flirting with bear market territory—meaning prices 20% down from their recent highs.

Trader and investor risk appetite up-ticked a bit to start the trading week on reports the U.S. may consider lifting some trade tariffs on China. Meantime, China continues to struggle with rising Covid cases that have locked down parts of major cities in the world’s second-largest economy.

In other overnight news, European Central Bank President Christine Lagarde said the ECB will likely raise interest rates at its July meeting.

U.S. President Joe Biden is on an Asian tour and Monday laid out a new economic cooperation platform called the Indo-Pacific Economic Framework.

The key outside markets today see Nymex crude oil futures prices higher and trading around $111.50 a barrel. Meantime, the U.S. dollar index is sharply down and hit a nearly four-week low in early trading. The yield on the 10-year U.S. Treasury note is fetching 2.815%.

U.S. economic data due for release Monday is light and includes the Chicago Fed national activity index. The data pace picks up rapidly Tuesday.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are higher in early U.S. trading, on short covering as prices are not far above last Friday’s 12-month low. Prices are in a six-week-old downtrend on the daily bar chart and bears have the solid near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are bullish early today. Today, shorter-term technical resistance comes in at the overnight high of 3,955.00 and then at 4,000.00. Support for active traders is seen at the overnight low of 3,910.25 and then at 3,855.00. Wyckoff’s Intra-day Market Rating: 6.0

June Nasdaq index futures: Prices are higher in early U.S. trading, on short covering after hitting Friday’s 12-month low. Prices are in a six-week-old downtrend on the daily bar chart and bears have the solid technical advantage. Shorter-term moving averages (4- 9-and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day average is below the 18-day. Short-term oscillators (RSI, slow stochastics) are bullish early today. Shorter-term technical resistance is seen at Friday’s high of 12,096.75 and then at 12,400.00. On the downside, shorter-term support is seen at the overnight low of 11,963.25 and then at 11,689.00. Wyckoff’s Intra-Day Market Rating: 6.0.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are lower in early U.S. trading. Bears are in overall near-term technical control. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term technical resistance is seen at the overnight high of 141 22/32 and then at the May high of 142 2/32. Shorter-term support lies at Friday’s low of 140 7/32 and then at 139 even. Wyckoff’s Intra-Day Market Rating: 4.0

June U.S. T-Notes: Prices are lower in early U.S. trading. Bears are in overall near-term technical control. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term resistance lies at the overnight high of 120.03.5 and then at the May high of 120.10.0. Shorter-term technical support lies at the overnight low of 119.21.5 and then at 119.10.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.0

EURO CURRENCY

The June Euro currency futures are sharply higher in early U.S. trading. Bears still have the firm overall near-term technical advantage. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is above the 9-day and 18-day. The 9-day is below the 18-day moving average. Short-term oscillators for the Euro are bullish today. The Euro currency finds shorter-term technical resistance at 1.0700 and then at 1.0750. Shorter-term support is seen at 1.0600 and then at the overnight low of 1.0569. Wyckoff’s Intra Day Market Rating: 6.5

NYMEX CRUDE OIL

Nymex crude oil prices are higher in early U.S. trading. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are bullish early today. Look for buy stops to reside just above technical resistance at the May high of $113.20 and then at $115.00. Look for sell stops just below technical support at the overnight low of $109.51 and then at $108.00. Wyckoff’s Intra-Day Market Rating: 6.0

GRAINS

U.S. grain futures prices were higher in early U.S. pre-market trading. Grain market bulls have the overall near-term chart advantage. Weather patterns in the U.S. Midwest will be main market drivers for the next few months. On tap today is the weekly USDA export inspections report.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Friday, May 20–Jim Wyckoff’s Morning Markets Report

Global stock markets were mostly up overnight. U.S. stock indexes are pointed toward higher openings when the New York day session begins. The major stock indexes are not far above their 12-month lows scored recently. Trader and investor risk appetite, on good days, remains tepid at best. A Wall Street Journal headline today read, “Recession trade is on as market pain spreads beyond tech.”

In overnight news, China’s central bank Friday cut a key lending rate, its prime five-year loan rate, by a greater-than-expected 0.15% in a move to boost China’s sagging real estate market. The easing from the central bank of the world’s second-largest economy did buoy global stock markets.

The key outside markets today see Nymex crude oil futures prices a bit higher and trading around $112.50 a barrel. Meantime, the U.S. dollar index is a bit firmer in early trading. The yield on the 10-year U.S. Treasury note is fetching 2.864%.

There is no major U.S. economic data due for release day Friday.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are higher in early U.S. trading, on short covering as prices are not far above the recent 12-month low. Prices are in a six-week-old downtrend on the daily bar chart and bears have the solid near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are neutral early today. The 4-day moving average is above the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral to bullish early today. Today, shorter-term technical resistance comes in at 3,975.00 and then at 4,000.00. Support for active traders is seen at the overnight low of 3,898.25 and then at the May low of 3,855.00. Wyckoff’s Intra-day Market Rating: 5.5

June Nasdaq index futures: Prices are higher in early U.S. trading and not far above the recent 12-month low. Prices are in a six-week-old downtrend on the daily bar chart and bears have the solid technical advantage. Shorter-term moving averages (4- 9-and 18-day) are neutral early today. The 4-day moving average is above the 9-day. The 9-day average is below the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term technical resistance is seen at 12,200.00 and then at 12,400.00. On the downside, shorter-term support is seen at the overnight low of 11,895.00 and then at the May low of 11,689.00. Wyckoff’s Intra-Day Market Rating: 6.0.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are near steady in early U.S. trading. Bulls have had a good week but bears are still in overall near-term technical control. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term technical resistance is seen at the overnight high of 141 2/32 and then at this week’s high of 142 2/32. Shorter-term support lies at 140 even and then at 139 even. Wyckoff’s Intra-Day Market Rating: 5.0

June U.S. T-Notes: Prices are near steady in early U.S. trading. Bears are in overall near-term technical control but the bulls have some momentum. Shorter-term moving averages (4- 9- 18-day) are neutral early today. The 4-day moving average is even with the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at 120.00.0 and then at this week’s high of 120.10.0. Shorter-term technical support lies at the overnight low of 119.16.5 and then at 119.06.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

EURO CURRENCY

The June Euro currency futures are weaker in early U.S. trading. Bears have the solid overall near-term technical advantage. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is above the 9-day and 18-day. The 9-day is below the 18-day moving average. Short-term oscillators for the Euro are neutral today. The Euro currency finds shorter-term technical resistance at this week’s high of 1.0617 and then at 1.0650. Shorter-term support is seen at the overnight low of 1.0564 and then at 1.0500. Wyckoff’s Intra Day Market Rating: 4.5

NYMEX CRUDE OIL

Nymex crude oil prices are firmer in early U.S. trading. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are neutral early today. Look for buy stops to reside just above technical resistance at $114.00 and then at this week’s high of $115.56. Look for sell stops just below technical support at $110.00 and then at $108.00. Wyckoff’s Intra-Day Market Rating: 5.5

GRAINS

U.S. grain futures prices were lower in early U.S. pre-market trading. Grain market have faded late this week but bulls still have the overall near-term chart advantage. Wheat is on shaky ground now, however. If wheat prices continue to drop, buying interest in corn and soybeans will also be limited.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Thursday, May 19–Jim Wyckoff’s Morning Markets Report

Global stock markets were mostly lower overnight. U.S. stock indexes are pointed toward solidly lower openings when the New York day session begins, on follow-through selling pressure from Wednesday’s big losses that saw the S&P 500 put in its worst daily performance in almost two years. Heightened worries about corporate earnings have hit the marketplace this week after Wal Mart and Target posted dismal earnings results. Both companies cited inflation as the main culprit for their dour earnings numbers. An economic recession in the U.S. is now on the minds of traders and investors who were already saddled with other concerns, including the Russia-Ukraine war and Covid cases causing major cities in China to be on lockdown, which is disrupting global trade.

The key outside markets today see Nymex crude oil futures prices lower and trading around $108.00 a barrel. Meantime, the U.S. dollar index is lower in early trading. The yield on the 10-year U.S. Treasury note is fetching 2.859%.

U.S. economic data due for release day Thursday includes the weekly jobless claims report, the Philadelphia Fed business survey, existing home sales and leading economic indicators.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are lower in early U.S. trading and near the recent 12-month low. Prices are in a six-week-old downtrend on the daily bar chart and bears have the solid near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are neutral early today. The 4-day moving average is even with the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are bearish early today. Today, shorter-term technical resistance comes in at the overnight high of 3,933.25 and then at 4,000.00. Support for active traders is seen at the May low of 3,855.00 and then at 3,800.00. Wyckoff’s Intra-day Market Rating: 3.5

June Nasdaq index futures: Prices are lower in early U.S. trading and near the recent 12-month low. Prices are in a six-week-old downtrend on the daily bar chart and bears have the solid technical advantage. Shorter-term moving averages (4- 9-and 18-day) are bearish early today. The 4-day moving average is below the 9-day. The 9-day average is below the 18-day. Short-term oscillators (RSI, slow stochastics) are bearish early today. Shorter-term technical resistance is seen at 12,000.00 and then at 12,250.00. On the downside, shorter-term support is seen at the May low of 11,689.00 and then at 11,500.00. Wyckoff’s Intra-Day Market Rating: 3.5.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are higher and hit a three-week high in early U.S. trading. Bears are in firm overall near-term technical control but the bulls have momentum. Shorter-term moving averages (4- 9- 18-day) are neutral early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is below the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish early today. Shorter-term technical resistance is seen at the overnight high of 141 12/32 and then at 142 even. Shorter-term support lies at the overnight low of 139 23/32 and then at 139 even. Wyckoff’s Intra-Day Market Rating: 6.0

June U.S. T-Notes: Prices are higher in early U.S. trading. Bears are in firm overall near-term technical control but the bulls have some momentum. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish early today. Shorter-term resistance lies at 119.00.0 and then at 119.10.0. Shorter-term technical support lies at the overnight low of 119.06.0 and then at 119.00.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.0

EURO CURRENCY

The June Euro currency futures are higher in early U.S. trading. Bears have the solid overall near-term technical advantage. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is even with the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators for the Euro are bullish today. The Euro currency finds shorter-term technical resistance at this week’s high of 1.0575 and then at 1.0600. Shorter-term support is seen at the overnight low of 1.0471 and then at this week’s low of 1.0401. Wyckoff’s Intra Day Market Rating: 5.5

NYMEX CRUDE OIL

Nymex crude oil prices are lower in early U.S. trading. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are bearish early today. Look for buy stops to reside just above technical resistance at the overnight high of $110.90 and then at $112.50. Look for sell stops just below technical support at the overnight low of $106.70 and then at $105.00. Wyckoff’s Intra-Day Market Rating: 4.0

GRAINS

U.S. grain futures prices were mixed but mostly lower in early U.S. pre-market trading. Grain market bulls still have the firm overall near-term chart advantage. On tap today is the weekly USDA export sales report.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff