July 2nd, 2024

The mean reversion move is underway. As expected yesterday, with the first day of the month, the flows into the market kept the sellers at bay. In the overnight session, without the monthly inflows, we saw the market dip. I keep it real simple at this point: sell the rallies small, trail stops, and look for 5450 in the coming sessions in ES.

I explained in more detail last night in my 10-minute technicals video my reasons for being bearish and my approach to trading in this environment. Here is the link if you want to check it out: https://youtu.be/ZjBhs2Mzm2M?feature=shared

I am signing out until July 15th. I am taking the rest of this week off and will just be managing my current short position. Next week is my birthday, and I’m traveling to Boston for our yearly boys’ golf trip. I may need a vacation after that, but I will be back at my screens on the 15th.

I want to wish all of my fellow Americans a wonderful Fourth of July. Remember, freedom isn’t easy, and in this political landscape, it’s important we keep our positivity and do what we can as Americans on a local level to maintain this great country.

Enjoy the time off, everyone. Be sure to get some mental rest from the markets and refuel for a great second half of the year. Cheers to all of you. DELI