First off, keep in mind that the E-mini S&P 500 contract is going to be somewhat thin during the trading session on Friday, as we only have half the session and Americans celebrate a major holiday as Independence Day is observed heading into the weekend. At this point, the jobs number producing over 4 million jobs had people excited for a moment, but they were probably pretty quick to take profit as it was time to go home and forget about the markets for a moment. The candlestick that formed it is a less than inspiring but the most important thing that we have learned from this chart is that the 3150 level continues to be a thorn in the side of the buyers.
S&P 500 Video 03.07.20
This has been a strong week, and quite frankly I would anticipate some type of follow-through eventually. On pullbacks, I would anticipate the buyers are looking to get involved, and once we break above the highs of the Thursday session, we probably open up the door to the 3200 level. Quite frankly, after three positive days in a row and Wednesday even being a recovery day as it initially fell apart, it should not be a surprise that on the day before a major holiday we did not have enough momentum to break out.
All the action on Thursday has told us is that we are still in the same range, but the resiliency of this market is something that should not be ignored. Remember, stock markets and the economy have nothing to do with each other, despite what you may have been told. Follow price, and at this point Price is still looking very much like it wants to go higher.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
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