It was another day of chop in equity land, the SPX settling +0.7pts to 4227. Meanwhile, WTIC settled +82cents (1.2%) to $70.05.
sp’weekly1b
WTIC daily
Summary
sp: I would merely note that weekly momentum continues to weaken, and is currently negative… if only marginally. It should at least concern the equity bulls a little, that the 4000s are still a threat, before the 4400s.
wtic: oil printed a new cycle high of $70.24, which is a little more impressive when you consider the slightly stronger dollar. The 75/76s are clearly viable within June, if not a more viable July.
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Looking ahead
Wednesday will see Wholesale trade, EIA Pet’
Earnings: LOVE, CPB, GME, RH
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PF chart of the day
Computer has a bullish target of $28.50.
Cameco, monthly
Cameco is currently net higher for June by +7.9% at $21.54. Major resistance of the $22s. Any price action >23.00 would be decisive, and offer the 35/37 zone. I do not own, and would lean to the gold/silver/copper miners, or oil/gas serv’.
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Final note…
The price action in Bitcoin remains some interesting sideline entertainment. Price structure of a bearish pennant has already been provisionally confirmed, with some sustained action under the decisive 34000s.
It is difficult not to see a fuller washout/capitulation to psy’20/19k. Daily momentum will be prone to turning negative within 1-2 days.
Thursday will see the CPI data. Market is expecting core (ex food/energy) y/y of +3.4% vs +3.0 prior. Anything much above 3.5% would likely spook the market, and send yields higher.
So… whilst Wednesday leans for further chop… if leaning on the weaker side (SPX, Nasdaq, black daily candles), things should really liven up this Thursday.
Goodnight from London