Market Review
GLOBEX
| (ESH20:CME) GLOBEX Session | (ESH20:CME) Day Session |
| High 3290.75 | Opening Print: 3281.50 |
| Low: 3226.00 | High 3296.25 |
| Volume:400,000 | Low: 3225.00 |
| ES Settlement 3271.75 | |
| Total Volume2.4M |
S&P 500 Futures RECAP – Trade Date 10/30/ 2020
S&P 500 Futures: Worse Week For Bulls Since March
After trading in a 64.75 handle overnight range with substantial swings, the S&P 500 futures opened Friday’s regular hours at 3281.50, down 12.00 handles, and went on to print the high of the day in the opening minutes at 3296.25 before reversing and trading down to a morning low of 3231.25 at 10:00 CT, a 65.00 handle swing.
The futures managed to rally late morning to 3266.50 before once again turning lower, targeting the 3225.00 price which would amount to the low of the day just after 1:30. The S&Ps would get a lift off the lows in the final hour, rallying up to 3277.50 before settling the day at 3271.75, down 30.50 handles or -0.92% on total volume of 2.4 million.
In terms of the overall price action, it was all about selling the high made on the open and then buying the mid-afternoon weakness.
Economic Calendar
Closing Prices
In the Tradechat Room
MiM
That 15:50 candle on Friday was a doozy, 25 points in 5 minutes as the MOC came up blank for closing the month ahead of a contentious election during a strengthening pandemic. That lifted the lid on the market and up we shot.
Questions? Please email me: Marlin@mrtopstep.com
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Covid Corner:
The world pandemic is entering a new phase as the number of daily cases hits a 500K seven-day average. Deaths are trailing but by the end of this week should be pushing a new high.
Europe and the USA are also seeing increasing cases and deaths, the European change is in an acceleration mode that has not seen any throttling yet based on new shutdowns.
To use our table, go to https://t2r4.com/cv19/views. Each column is sortable and if you click on a cell you will get a time-based chart of the state.
Wear your masks!
Stay home!
Take your Vitamin D!
Chart of the Day
OUR CALL:
An Ugly, Dark Time
The VIX closed out October above 38, its 14th highest monthly close since the contract started trading in 1990. There is one day to the ugliest presidential election run in history and two full months until the end of 2020.
I don’t know where any of this is really going but I will tell you something. I went back to Chicago for 4 days and while many people I know talk like the city is ok I have to be brutally honest. I have a dark prediction and that is the prospects for a recovery in Chicago are dim. My thoughts are that even if there is a vaccine New York, Los Angeles, and Chicago are in big, big trouble.
True story, there is this guy I know, his name is Leo. He used to buy lofts and then opened one of the largest apartment rental companies in downtown Chicago. You wanted to rent a place, you called Loe. I ran into Leo Saturday afternoon noon at Gibsons Steakhouse. I heard his voice and I got his attention and I said ‘Leo, it’s Danny’. Loe turns and said ‘Danny I thought you were in Delray?’ I explained I was back in Chicago to see my granddaughter and then proceeded to ask him what he was up to during Covid in Chicago? Leo said, ‘I got lucky, I sold my retail building last year and I’m paying off the rest of the lease on a condo I rent and then I’m packing up my car and moving to Tucson’. I asked him about his apartment rental company and he said, ‘That totally blew up, no one is renting in Chicago and if you do the landlord will give you three free months rent, there are thousands of apartments and condos for sale and for rent and the levels keep going up.’ Leo went on to say that he regrets leaving but also knows there is no way to make a living in Chicago and he is tired of the lack of freedom due to the lockdowns and that shutting down indoor restaurant seating last week sealed the deal. Based on what I saw in Chicago, it’s going to take several years to get Chicago going again and even then the new normal is not going to look at all like the old normal.
Our view, if the ES gaps lower I want to buy the open. I know the markets act terrible but I have a feeling we see some type of first of the month, mutual fund Monday. If the ES gaps higher I want to sell the early rallies and buy the pullbacks. This is not about a change in my negative stance but I have a feeling the next 50 handles are up.
Market Vitals Technical Analysis
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As always, please use protective buy and sell stops when trading futures and options.
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