Friday, June 24, 2016 #PreMarket Comments by Michael Blythe
Good morning. I don’t have much to say so my comments will be brief. Yesterday I mentioned my memories from September 29, 2008 when a congressional bank bailout vote was suppose to be approved, and the reaction from surprised traders when it failed. That day, I saw panic when the market got it wrong and I saw a similar expression last night as the “sell the news” became reality.
The ESU6 went limit down at 1999.00 after making a 2119.50 high early in the globex session. What more can be said? My view…well…either there will be some stock dump on the open especially by European funds… or a dip buying rally…and both could be in the cards given enough time.
Levels? Micro levels are not going to be suitable as the volatility has sliced through what may have seemed to be areas of significance. Not sure which macro levels can be trusted either. So I will stick with what we do know. To the downside, the 1999.00 (no asterisks) low, followed by what would be a RTH limit down around 1959.00-1960.00. Upside, the 2043 European high is initial interest marker, followed by 2050, 2085, 2100 and 2120.
All the best;
Michael Blythe
Futures Strategist
Hamzei Analytics, LLC
