Respect - Monday, page-2

SPI futures saw a respectful 26 point range Friday night, high being 5714, low being 5688, with a close Saturday morning of 5708, up 16 points on volume of 7,252 contracts. December expiration closed at 5700, up 20 points on low volume of 1,520 contracts. Thursday is September SPI futures expiration, so I'll be keeping an eye on December from today. Based on Friday nights move, my high resistance line is 5729, low support line is 5677, with the pivot point at 5703.  After Europe was down, American markets seemed to shrug off Fridays North Korean missile test with the DOW up .29 pct, SPX up .18 pct, and the VIX dow 2.59 pct to 10.17 - happy days. Even Japan and Korea were up on Friday,  .52 pct and .35 pct respectively.  No missiles, but a lot of words being fired over the weekend. Trump not showing Fat Boy much respect, calling him the 'Rocket Man' on Twitter, also saying North Korea will be 'destroyed' if threats continue, all ahead of a United Nations meeting this week. As actions speak louder than words, I wonder if Mister Kim will take the bait and fire off a response of his own ? So, what does all this mean for the XJO ? Well, nervous Nellie was down Friday as we all know, following US futures lower at the open, so let's see what they're doing - they just opened down a bit, but nothing scary. plus they left a small gap at 2500 which will more than likely fill before we open, so usually I would think the XJO would go up today, break the 29 level and close the gap she left last Friday at 5740, and SPI futures go up to close the gap at 5742. There is a small gap down at 93 on the SPI chart which looks likely to fill today also, so as usual, what we think will happen and what actually happens, could be two different things, or a bit of both. The open will tell us. I think we might be subject to geopolitical events this week as well as the usual market stuff, so respect the charts.


Have a nice day.