Outlook 10/05

Context: Futures bounce after the ECB is considering tapering its QE program, but the central bank shot down the rumor, which suggested it could wind back its bond buying by around €10B a month. Chicago Fed President Charles Evans would be "fine" with raising U.S. interest rates by year end if U.S. economic data continued to come in firm, though any further moves would need to see inflation moving higher.

Plan: Globex is balanced, moving in value within 2151-2138. It seems an open auction, so first idea is to be a seller below 2151 towards CLVN 2138 GAP 2131. If that fails, I become a buyer towards GAP 2159.

Value References (/ESZ6): VAH 2151.50 POC 2142.50 VAL 2136.50

Economic Data (ET): 9:45 PMI Services Index; 10:00 ISM Non-Manufacturing PMI, Factory Order; 10:30 Crude Oil Inventories.

Notice: Trading process and plan are based on the Auction Theory.

Warning: Trading Futures involves substantial risk of loss and is not suitable for all investors. The past performance is not necessarily indicative of future results. All the information on this website is for educational purposes and is not intended to provide financial advice.