Trading Edges That Last
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Lawrence's Comment Recap Dow simply hopped thru the Y+1 resistance and never looked back. The bullish bias from last week worked out. YM has to complete 100% range expansion first before it ...READ MOREFor more information about this report please refer to the Market Bias Informant pageREAD MORELawrence's Comment Recap The interesting scenario mentioned last week has unfolded. Closed the week below midpoint. Outlook A break of B-1 and closing the week below that implies a w. upthrust on weekly ...READ MORE
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S&P 500 Dec 23 to Dec 27 Outlook
Lawrence’s Comment
Out of the 3 indices, ES is the worst offender among them in trapping the bears. Gap higher to start the week and drifted lower into FOMC announcement. Then the new shock spiked down to below Y-1 yet immediately reversed back up and zoomed to the normal upside target as mentioned in real-time chat. ES then continued its march higher by Friday and printed another new year high just like the seasonal bias suggested. Closed the week near Y+1 and near week high.
Outlook
Outside up close week. 2nd outside week. Very powerful setup pointing to more upside. Due to the wide range swing, consolidation in play.
Combining the biases, we get a 50% range swings around Y+1 / B+1. Do not underestimate this 50%, we are talking about upside potential of above 1840 for the bullish scenario and at least mid 1830s for the sideway scenario. Will be difficult to trade swings like this in the expected low volume environment.
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