The Day Ahead: PM Edition 2024-05-30
S&P 500 slips lower toward typical fourth wave targets
Bonds
Bonds firmed up a rose today from a pretty good spot for a wave ii higher low. Things look even better for bond bulls if ZB pushes over 116^04.
Crude Oil
Another down day in CL on Thursday. I’m still giving bulls a chance to form a higher low, but they need to act against 77.30 or 76.70. I suppose the alternative is recent bounce high was wave [IV] and a new low [V] of i.
Dollar Index
DX went sideways today and is just under the 104.90 level. I can’t rule out a test of lower support till DX is up over 104.90.
Euro
Euro tested the 1.0800 level from the daily chart and bounced. I’d like to see 1.0790 hold and for the Euro manage another high over that of May 16th to improve the pattern.
Gold
Wave [IV] may be complete against 2322.75 but I can’t rule out a test of lower supports until GC is over 2370.65.
S&P 500 Futures
With the gap down open today, S&P 500 futures proceeded to move down to test the next wave [IV] target zone of 5244.25 to 5237.50 late in the day. This is a pretty attractive area for wave [IV] as it corresponds to a test of the lower main channel on the 240-minute chart. I like a grind higher from here into the middle of June.
