all downhill from here? 📉
Hey team.
Back in your inbox with another market brief.
We’re coming off a HOT inflation report, horrible retail sales, and more so let’s just get right into this one...
Impact Snapshot
U.S. first-time unemployment claims fall to one-month low
Retail sales drop by most in nearly a year after holidays
PPI Inflation - Tomorrow, 8:30am ET
Consumer Sentiment - Tomorrow, 10:00am ET
Market Evaluation
The S&P 500 struggled for direction Thursday as the markets tried to claw back this week’s losses.
However, gains were kept in check by weaker-than-expected U.S. retail sales data.
Treasuries wiped out gains that followed a weak retail sales print. Factory production also pointed to a loss of momentum.
All eyes on tomorrow’s PPI inflation reading and consumer sentiment as the market will eye another round of catalysts to determine the overall outlook.
Markets Breakdown
Market’s managed to re-claim back above the 5000s after Tuesday’s sell-off, which came on the heels of a hotter-than-expected inflation report.
Many times we are warning about liquidations and short covering leading into emotional sessions.
Emotional sessions are very different in comparison to true, institutional selling activity.
Weaker hands getting shaken off from their fomo longs at ATH and a bounce at exactly 21EMA is not strong, institutional selling.
After the emotional CPI release saw liquidations, it was followed up with yesterday’s session that almost completely negated this downside move.
The market report we’ve posted yesterday gave a clear sentiment, don’t fight trends.
Sometimes it’s better to be late in the move to confirm that the trend has indeed switched than trying to get on too early.
Again, you’ll know the ATH well after the fact.
Read this post we’ve made Here followed by this update Here, to see what we were looking throughout the early session.
ES
The targets we look for until NY close & Targets to pay attention Tomorrow:
Upside Levels: 5041/5056/5073
Downside Levels: 5004/4987/4971
We’ll see you again on Sunday!
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Cheers.
-The QuantVue Team
Disclaimer: Futures and options trading carries a significant level of risk and may lead to substantial financial losses. The content provided in this newsletter is solely for informational purposes and should not be construed as a trade recommendation or financial advice. It is essential for readers to independently assess and make their own investment decisions, taking into consideration their personal financial situation and risk tolerance.