Lots to focus on as crude oil sinks, bonds too (although the bonds could be setting up another buy). Daytrading has been tough, but there’s a good reasons and it’s why we’ve been focused on the daily time frames. And finally, where are the long setups in a market that looks a little tired at the highs?
I’m starting to look at earnings trades for next week, and MCD is one of the first I’m eyeing. It tends to move higher after reports and is strong both technically and fundamentally. This is how I’m looking at it for earnings.
Options expiration is over, and now it’s time to look ahead to the beginning of a meaty earnings season. Next week, we will see reports from V, MSFT, MCD, AMZN and more. I’m focusing on short-dated runs into earnings along with trading the reports, and watching these reports for sentiment.
Of course a passed Brexit deal could mean a little strength on the Sunday open but reports that PM Johnson has the votes was known before the close, so where is the next step to the downside?
We’ve waited patiently for that upper, overbought edge in the ES and NQ, and the market seems to be respecting this as the bears owned the day. Not overwhelmingly but enough to confirm resistance.
