read me before tomorrow morning

December 03, 2023

Howdy traders.

Your favorite futures analysts are back again with a Sunday report.

We go over exactly how we’ll be trading this week and what levels we’ll be eyeing up.

Let’s dive right into it…

Impact Snapshot

  • Factory Orders - Monday

  • ISM Services PMI - Tuesday

  • JOLTS Job Openings - Tuesday

  • ADP Nonfarm Payrolls - Wednesday

  • Jobless Claims - Thursday

  • Unemployment Rate - Friday

  • Average Hourly Earnings - Friday

  • Consumer Sentiment - Friday

Market Evaluation

It’s December, which means that Wall Street strategy teams have begun to give their educated guesses about where the S&P 500 will end up at the end of 2024.

The S&P 500 index rose 0.8% this week, its fifth straight weekly gain, after the market benchmark concluded its strongest month in more than a year and began December on a bullish note.

The fresh 2023 closing high comes just a day after the S&P 500 closed November with an 8.9% jump, the largest monthly increase since July 2022.

The Federal Reserve chairman offered a warning to investors who believe the Fed is finished raising rates and will soon pivot to cutting.

Next week, a number of economic reports will be released with November's nonfarm payrolls and unemployment rate, due Friday, expected to garner the most attention.

Markets Breakdown

Last Friday, market saw it’s first attempt to break from the short-term balance area in order to find continuation above 4600s.

The key area of 4605 we’ve highlighted thru the overnight session here acted as the top of the session with the market looking above and failing to hold.

We have yet to see meaningful acceptance above 4600 which is the key point of reference for any continuation towards a break from the balance.

On the upside, we are looking at several areas of reference which are highlighted within the gap that was left on 8/2.

On the downside we can expect a re-test of the high volume node around the pivot with a possible rotation towards the other extreme of the balance area on Thursday’s lows.

ES

The Week Ahead points of reference:

  • Upside Levels: 4621/4633/4643

  • Downside Levels: 4554/4543/4536

That’s all we’ve got for you.

We’ll be back again in your inbox on Tuesday.

Happy trading out there.

-The QuantVue Team