US equities remain in weak leaning chop mode. Price action remains impressive consolidation/chop, after a run from 4495>4705. Whilst Friday morning’s CPI data will threaten a drop… the bears ironically face a market that has burnt off around 75% of s/t overbought conditions.
sp’60min
VIX’60min
Summary
So… one trading hour left… before Friday’s key CPI data.
As noted earlier, two scenarios favour the bulls, with one to the bears. I’m open to downside to orange gap… but that should result in a higher low, with renewed upside into Wednesday’s FOMC.
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notable stock: AVGO
Broadcom has earnings in AH, which should be fine. Considering the CPI, even the bold will arguably not be trading any earnings.
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notable Dow component: DIS
Disney holding up well to the main market. Teal gap looks probable.. even before Christmas day.
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notable energy: KMI
Yesterday’s black candle played out. I comfortably hold. FPE 16s. Y 6.6%… whats not to like?
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notable miner: FCX
Freeport appears due to settle with a reversal candle, which leans s/t bullish into the weekend. I want at least psy’40/41s. Considering copper has long since surpassed its 2011 historic high, it remains a wonder that Freeport didn’t also already push >$48s. In any case… I hold from $36.03.
back at the close…