Stuck in Between

7300’s or 7600’s

Good afternoon!

While we had a bit of a scare this week after coming back down to 7411-7422-7432, we are still stuck as neither end has broken above 7640 or beneath 7350’s. The biggest factor this week was mainly reclaiming 7520’s and back over 7558-7566 to attempt reclaiming our core ranges over 7571-7578-7581 etc.

Another major factor and highlight this past week was the emphasis on positioning into oil names.

This slight volatility has also put some buying interest and demand on oil which has been steady over the past week and as mentioned the week prior, we can continue to trade crude as a hedge.

This played out extremely well, as crude continued to climb steadily throughout the week meanwhile the indices weakened. Headline news was of course a major contributing factor to the increase in price of crude.

Heading into this week, considering we pinned in the channel (7438-7444-7448), the market is clearly undecided. Much of which will be relative to where we open, as we now also approach month-end.

Let’s review!