Futures were showing a slightly mixed open for Wall Street today when we were doing our chart work last night and remained that way ahead of the European open. Futures were slightly weaker ahead of the opening bell and suggested today could be a wait-and-see session with flat action as the market awaits Janet Yellen comments on Tuesday.
We mentioned this would be her first testimony to Congress on the state of the economy and Wall Street is eager to hear her comments. Traders seem tentative to take long or short positions ahead of the event and the market has followed suit.
The charts are showing an upside of possibly 2% this week but we don’t see a breakout to new all-time happening this month. Instead, we see more weakness over the near-term but that could change if the bulls clear the next waves of resistance.
If you haven’t taken the opportunity to study our charts, please do so by logging into the Members Area. It will help you become a better trader and it will also keep your emotions in check as volatility will only increase. Like the Great One said, you have to skate to where the puck is going to be and not follow it.
The Dow is down 18 points to 15,775 while the S&P 500 is lower by a point to 1,796. The Nasdaq is higher by 11 points to 4,137 and the Russell 2000 is declining 3 points to 1,113.
As we wait for the volatility and choppiness to play out, we are in great shape to play the market’s next major TREND as our portfolio is light. We do have a few put options trades that are getting a nice bounce today and we have a few remaining call options trades open that are hanging in there. We also have a NEW TRADE today.
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