Italian Bond Yields Reminiscent Of Eurozone Debt Crisis

Index Futures Net Changes and Settlements:

Foreign Markets, Fair Value and Volume:

• In Asia 11 out of 11 markets closed lower: Shanghai Comp -2.26%, Hang Seng -3.08%, Nikkei -2.67%
• In Europe 13 out of 13 markets are trading lower: CAC -1.24%, DAX -1.95%, FTSE -0.86%
• Fair Value: S&P +1.70, NASDAQ +12.53, Dow -13.77
• Total Volume: 1.65mil ESZ & 312 SPZ traded in the pit

Today’s Economic Calendar:

Today’s economic calendar includes Redbook 8:55 AM ET, Neel Kashkari Speaks 9:30 AM ET, Richmond Fed Manufacturing Index 10:00 AM ET, a 4-Week Bill Auction 11:30 AM ET, a 8-Week Bill Auction 11:30 AM ET, a 2-Yr Note Auction 1:00 PM ET, Raphael Bostic Speaks 1:30 PM ET, Robert Kaplan Speaks 2:15 PM ET, Charles Evans Speaks 6:15 PM ET, and Esther George Speaks 8:00 PM ET.

S&P 500 Futures: Buy Tech / Sell S&P

_{60 min ES chart with inverted cup and handle pattern courtesy of @chicagostock}

The index markets closed weak last Friday and dropped during Sunday nights Globex session, with the S&P 500 futures trading all the way down to 2749.75, down -18.00 handles. Once the low was in, the benchmark futures traded all the way back up to 2782.00 at 7:03 AM Monday morning, then traded 2777.00 on the 8:30 AM futures open. After the open, the ES sold off down to 2751.00, traded back up to 2774.75, then made a series of lower lows down to 2752.75 going into 11:30 CT.

In the afternoon, price chopped higher, up to 2766.50 for the early afternoon high, and then crept back down to 2756.25 for a mid afternoon low, before rallying up to a double top at 2768.25 going into the final hour. From there, the ES dragged lower into the close, with the MiM showing a final closing imbalance of $431 million to sell. The E-Mini S&P 500 futures (ESZ18:CME) went on to print 2757.75 on the 3:00 cash close, and settled the day on the late afternoon low tick of 2756.00, down -11.50 handles, or -0.42%.

Daily HotSpots

HotSpots are times during the market trading session that for the past XX days have consistently moved in one direction or the other. These HotSpots are published each morning pre-market. The next day, a results post is also published and weekly a summary post.

CAUTION: This data is under development and provided only for research and teaching purposes

If you have questions about HotSpots you can contact us at info@mrtopstep.com.

Lookbacks:

The lookback period (number of days) is set at 21,13,11,8 and 5 days. A heat-map is generated for each of these lookback periods, the best trade from day is scored.
The period of time that has consistently produced the best results becomes the hotspot for that look back. There are also different look-back types like Taylor and Taylor Plus.
Taylor cycles are usually 3-day cycles. A Taylor-5 look-back would use the last 5 trading days skipping back by 3 trading days. Taylor Plus uses calendar days so weekends and none
trading days are counted as part of the skip count. If a lookback period falls on a none trading day, it is not used so a TaylorPlus will continue skipping back until 5 trading days are found for the heatmap calculation.

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As always, please use protective buy and sell stops when trading futures and options.

_{Disclaimer: Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. Any decision to purchase or sell as a result of the opinions expressed in the forum will be the full responsibility of the person(s) authorizing such transaction(s). BE ADVISED TO ALWAYS USE PROTECTIVE STOP LOSSES AND ALLOW FOR SLIPPAGE TO MANAGE YOUR TRADE(S) AS AN INVESTOR COULD LOSE ALL OR MORE THAN THEIR INITIAL INVESTMENT. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS.}