Over a week ago I theorized that $ES/SPX futures would eclipse above 5100 before any substantial correction and last week that came to fruition with $ES rising to 5123.50.
It would be disingenuous of me to say I ‘knew’ what would happen. Instead I went into reactive mode last week and used my levels as guides to evaluate my thesis, because I believe my levels are … spectacular. While $ES fell below 4973 for a quick stop run on Wednesday, it perfectly backtested 4973.25 on $NVDA earnings and rose from there into highs >5100. 🎯 🏆 💰
Despite strong performance for $ES and $NQ/Nasdaq futures last week, $RTY/small caps futures declined. That mixed signals phenomena also showed up in precious metals and crude oil. $GC/gold futures outperformed miners and silver and $XOP/oil equities diverged from the commodity to hold onto a small gain.
This week I give my opinion on what those mixed signals mean moving forward and most importantly I share the spectacular😏 levels I am watching to make money independent of directionality.
Summary of Market Action Last Week:
The indices declined through Wednesday, and then gapped up and rocketed on Thursday. Friday was a bit mixed, with $ES/SPX futures and $RTY/small caps futures booking slight gains, while $NQ/Nasdaq futures closed red for the day. Overall $ES settled with the biggest gain and $RTY was red for the week.
$GC/gold futures showed strong performance, yet $GDX/gold miners once again closed marginally red. $SI/Silver futures gave back some of its outperformance from the previous week.
$XOP/oil equities held onto a minor gain despite a pullback for $CL/Crude Oil futures.
Here’s how last week closed out:
For the week ahead (02/19-02/23/24)