Thirsty Thursday today on the agenda we have:
Economic Data:
8:30am Initial Jobless Claims (last 610K), Continuing Claims (last 6.02M)
10:00am March Existing Home Sales (last 4.72M, m/m 5.1%)
10:30am Natural Gas Inventories
The big news will be out Friday, when we get the results of the "Stress Test".
Right now (7:45EST) /ES is up 8pts. But with some key economic data coming out this can change. Currently the dollar is weakening while the EUR/USD has made a push above 1.30. This should give some energy back into the bulls legs. Crude is always rallying this morning up almost 2%.
Looking at the USD, we have a potential bull flag forming. But a break of 86 would indicate the breakout of the USD was a fake out. For the EUR/USD a break out to 1.31 would help start a rally in that currency pair.
I am also watching USO for a break out of 28.
If SPX gets above 868.23 and closes above that on Friday that will be the 7th week straight close up! I think the big thing the market is waiting for are the STRESS TEST! on Friday. Right now I have a small position in SDS and SRS with a stop-loss at 0%. 850-868 must hold for the bears and for the bulls they must break that level. Let the war begin!
