2 – 6 November 2020 Trading week preparation

Every week I share a bunch of stuff.
– Daily signals for MA Crosses and MA breakouts
– Market Reports
– Consolidated market data and more.
https://eod-notes.com/shared-content/


From last week:
Crazy week ahead of US elections. S&P500 made some crazy moves.
I was aiming for a retest of the ~3500 level but it didn’t cut it.

Earnings keep on coming out and a lot of companies are betting expectations. This makes me feel sort of uneasy in a way I don´t know if the numbers are cooked or not.

Current trades are doing fine:
– $AG is consolidating with silver
– $LVO finally ramped, you buy volatility when It´s low. When It pays, It pays hard.
– Gold CFD, consolidating, and gaining weakness with the dollar momentum. more below on the gold section)

Next Week:
US elections week!
As I write this, markets are pointing for a red open.

https://www.ig.com/en/weekend-trading

I am expecting a lot of volatility this week with a relief rally when the US election results come out.

It will be a very hard week to trade, I am expecting big swings on equities and FX.

On top of this, we have another action packed week of earnings.

Earnings Whispers

WTI
We closed below the “summer box” I will risk saying this points to doom for oil in the short term.

Bare in mind that the US elections results will influence a lot the WTI price as Biden is against the oil industry and fracking.

Prepare for a lot of volatility, This week is a no trade on the oil market for me.

Oanda CFD WTI

Gold
The yellow metal is being highly correlated with the dollar these last few weeks.
As the dollar gains strength, gold is pointing to retest the ~$1800.
I am looking at these as a huge opportunity to add to my position, at $1800-$1850.

Last September supports area looks strong, It is also the 0 Fibonacci level.

Oanda Gold CFD

SP500
The last two trading days were insane, the candles point to total indecision.
Despite this, the movements and volume were clearly pointing to the downside.
Even SPY flows were negative.

https://www.trackinsight.com/en/

A big chunk of the S&P constituents are also turning bearish, the bull-bear lines are at ~47% to the bear side

Market Gauge SP500 Dashboard

Technically the chart looks week too, a retest of ~3100 seems very likely.

Oanda SP500 CFD daily

Finally, the market volume spiked in the last two weeks when selling was taking place. Which gives Its strength to the bearish bias.

Market Gauge Market Tape Dashboard

Dollar
The dollar index just broke out last week with some strength. Maybe investors are running to the dollar ahead of this week’s uncertainty.

DXY daily chart

A lot of action on the FX markets too, AUD and CAD showing some weakness ahead of cash rate decisions.

Market Gauge FX Dashboard

Other Notes

Tanker rates are taking a dive.

https://fearnpulse.com/

Sentiment is a bag of mix feelings.

Market Gauge Sentiment Dashboard

Safe havens are also mixed. CHF is consolidating and Gold is reacting to dollar strength.

Market Gauge Safe Havens Dashboard

More insider selling.

http://www.openinsider.com/

Interesting Articles

How the Electoral College works

Events:
Check the full calendar here:
https://www.investing.com/economic-calendar/

Special notes on:
– World PMIs
– USD Factory Orders/ Jobs data / FOMC
– German factory orders / Industrial production
– AUD cash rates
– CAD cash rates

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