May retail sales numbers up! BUT, no trade today... Why?
5 minutes Chart - Emini Nasdaq 100
Hi,
No trade today. Retail sales are up 1.4% in May and this is a good sign of strong consumer confidence.. economy's still expanding... Good news...
Well, the market reflected that news by gapping up this morning... But today, there is no trade... If you look at the highlighted region.. you might think there is a plausible trade... when stochastics turned up and crossed the moving averages..
However, a point to take note is that Short-term MACD remains uncomfortably near the zero line and If you look at Mid-term MACD, it's even closer to the zero line...
There just weren't enough singals for me to be convinced that price was going up... Had to give it a miss... Chances are always around and you can't capture all trades... Better to be safe than sorry..
Fundamentals:
Rate worries are still resonating with investors, but their confidence level rose once the Commerce Department said that retail sales jumped 1.4 percent in May. This rise was the highest in 16 months and doubled what analysts expected. Investors were also pleased about the Federal Reserve's Beige Book report, which said the U.S. economy kept expanding at a moderate pace in the first part of the second quarter. Bond yields, whose advance caused a pullback in stocks last week and again Tuesday, spiked early Wednesday before falling back with release of the new economic data