what the latest JOLTs means for futures...

Hey team.

The best looking futures analysts are back again in your inbox with another market report.

We’ve got another juicy one below with the latest JOLTs report, and the levels we’ll be watching out for this week.

Let’s jump into it…

Impact Snapshot

  • Services sector of U.S. economy expands for 11th straight month

  • Job openings in the U.S. fall to 28-month low

Market Evaluation

Treasuries extended their upward momentum, fueled by additional signs of a slowdown in the labor market. 

This has strengthened the belief that the Federal Reserve might have the capacity to implement interest rate cuts in the coming year as a preventive measure against a potential recession.

Economic activity in the services sector expanded in November for the 11th consecutive month.

The report of ADP Non-Farm Employment Change tomorrow at 8:15am ET will be closely watched as the market is awaiting additional information for it’s next directional move.

Markets Breakdown

Monday’s session saw a pullback to the lower side of the multi-day balance, on the exact manner we’ve highlighted early in the overnight session on our market report.

On Sunday’s market update video over on X, we’ve talked about Friday’s rejection from 4600 and the next downside destination target being the lower-end of the balance area which had a prominent point of control.

The overnight session saw lower lows on considerably high volume throughout the Asia session.

The only point of interest on the downside was 0.70% lower towards the pivot.

The US open saw a re-test of the 4568 and another downside leg towards the 4554 which was our key downside continuation target.

Market saw a break and hold above the pivot where it found a consolidation above till the session close.

As we’ve highlighted in the morning report over on X today, market fell back inside the multi-day consolidation range highlighted by the orange box. Any meaningful upside will want a clear flip of 4584 as support for continuation towards the 4600s. On the downside, we are looking at the pivot of 4541 to hold as support to prevent acceptance back inside the prior balance area (Blue box). A range bound activity will see rotations towards the extreme of the balance area (orange box)

ES

The targets we look for until NY close & Targets to pay attention Tomorrow:

  • Upside Levels: 4584/4597/4621

  • Downside Levels: 4541/4531/4522

That wraps up this Tuesday’s brief.

We’ll be back in your inbox on Thursday!

Have a great rest of your week.

-The QuantVue Team