Jackson Hole Speakers

Context: Futures are inching up as the all-stars of central banking meet in Jackson Hole. Speeches by Federal Reserve Chairwoman Janet Yellen and ECB President Mario Draghi will be scrutinized for hints on the path of monetary policy, but neither of them are expected to give fresh guidance. Starting next week, the president's agenda and calendar is going to revolve around tax reform, the current American tax system has remained largely unchanged for three decades.

/ES Value: YVAH 2442 YPOC 2439.50 YVAL 2437

/ES Plan: Yesterday closed bearish (PBT 2430), after trying lower edge (CLVN 2428). Look below and fail. Overnight inventory is balanced moving above yesterday's value, so we've 2 options:

A) If the market moves above CLVN 2441 and remains above on subsequent tests, try to be a buyer leaning on steps 2444 YVAH 2442 towards CLVN-YVAH-GAP 2453. A market that wants to rally on firmer footing should test these steps before rallying.

B) If market moves below CLVN 2441 and remains below on subsequent tests, try to be a seller leaning on LVN 2439.50 YVAL 2437 towards PBT-CHVN 2430-2428. A market that wants to fall sharply should test these steps before selling further.

Tips: On Wednesday, we saw classic 'Look Above and Fail'. yesterday we saw similar to the downside, 'Look Below and Fail'. Overall, the outlook remains the same. The market must continue to keep value above CHVN 2428 in order to maintain the current bullish bias.

Today's Economic Calendar

08:30 AM Durable Goods
10:00 AM FED Yellen speech
03:00 PM ECB Draghi speech
01:00 PM Baker-Hughes Rig Count

Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.