U.S benchmarks are firm ahead of Monday’s opening bell, writes Bill Baruch President of ...
Major Market Ranges for the Week of May 26
05/24/2019 4:05 pm EST
Trevor Smith predicts that range of each of the major markets for next week using hi proprietary mathematical models.
Price action is currently following longer-term trends. While I continue to see short-term bullish charts for the coming week with the same unfulfilled higher targets from last week, traders must understand the higher time frames for a complete, fully-informed perspective. So, I am covering each symbol individually for the coming week, because the markets are embattled in such rare conditions.
Last week I wrote, “If the S&P forcefully rejects the forthcoming high retests next week, then swing tops near a “sell-in-May” time point could occur.”
It did, so I direct readers to the yearly chart of the Nasdaq futures’ inverted hammer sell candle, before viewing the S&P futures monthly-chart engulfing bearish candle on weekly chart 20-period moving average support for next week’s delayed rally only partially fulfilled this week. Markets are weak now, so be careful with trending longs toward high retests to May 31, although I still consider the Cboe Volatility Index (VIX) futures short and S&P weekly-chart long signals intact, though unfulfilled.
We were correct about the bearish yen outlook last week and its range extrema numbers, it seems to be at weekly-chart moving average support with bullish volume and in a narrow range poised for a moderate break, though not a clear trade.
Gold is rowing merrily, gently down the doji series line on the 80-week simple moving average, and the yearly pivot, in a spinning top doji on the Monthly chart. It did not breakout this past week as I hinted it might. More time without price only means larger price moves in quick, trending bursts are coming. Using Al Brooks’ tail count method, the weekly chart series is 4:4 bullish-bearish candle tails in air/underside. Do watch for a bullish trade continuing last month’s low rejection, despite the doji-tails standoff/standstill.
Crude oil was within pennies of my high projection last week before crashing through my lows. Its bearish weekly-chart candle engulfed the 20-day & 50-day simple moving averages (SMA). I foresee a 20-day SMA bounce in a sideways week before the $55 per barrel price trades on bear candle follow-through.
Next Week’s Predicted Ranges
E-mini S&P 500
High Range 2899-2879; Low Range 2812-2796
High Range 9193-9171; Low Range 9024-9110
High Range; 1.129-1.126; Low Range 1.119-1.118
WARNING: May-June Breakout to 1.135-1.137
High Range $1307.20-$1295; Low Range $1279-$1271
High Range $6040-$6011; Low Range $5687-$5580
Last Week’s Predicted-Versus-Actual Ranges (Friday, May 24, 2019; Noon)
E-mini S&P 500
High Range 2918-2950; Low Range 2838-2820
High Range 9157-9137; Low Range 9075-9062
High Range 1.129-1.126; Low Range 1.119-1.118
WARNING: May-June Breakout to 1.137 OR 1.110
High Range $1306.30-$1293; Low Range $1273-$1269
High Range $6445-$6412: Low Range $6173-$6123
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