S&P 500 Daily Perspective for Thu 8 Jun 2023

Still in bullish consolidation, but revisit of the balance zone low now more likely

Roger

Jun 08, 2023

GDR Model Performance

This year has been challenging for the GDR Model’s style due to low confidence in the market.

GDR Model Outlook

The GDR Model is now bullish following last week’s breakout from consolidation.

GDR Model Position

The GDR Model has opened a long position following consolidation earlier this week.

S&P 500 Futures Market Profile Analysis

Near-Term Outlook: revisit of balance zone low

Alternate Outlook: breakout to take out August 2022 high target

Key Levels

Bullish: 4304 (Top of Current Balance Zone), 4306 (Poor High), 4328 (August 2022 High)
Bearish: 4269 (Poor Low), 4252 (Bottom of Current Balance Zone), 4240 (Closes Gap Up)

Market Narrative

Still not many changes from the outlook set at the start of the week: as expected the market is consolidating a bit after finding resistance at the current balance zone high.

Critically, yesterday was a liquidation day that rejected a breakout from the current balance zone and left behind a poor low. This has increased the odds that the market will revisit the bottom of the current balance zone before making its next meaningful move, whether that’s up or down. When and if that happens, monitoring for continuation will be critical.

Economic Calendar

8:30am - Initial Jobless Claims
Later this Week: none notable