End Of Day Post

The markets made two large moves this week, although they were in opposite directions.

1. On Monday, we saw INDU gain 242 points. This move was primarily fueled by rumors of the Fed putting off a rate hike past September.
   
2. Today, INDU lost 212 points as the Peoples Bank of China devalued the yuan.

We have seen big volatility already this week, but no clear direction as Monday and Tuesday cancelled each other out.

Technically, we are sitting very close to Friday’s levels. These last two days have produced nothing in terms of directional clarity. Besides watching two big days, we don’t have much more to go on than we did on Friday.

Time will tell how much the markets are going to be affected by China’s move, or if the Fed will extend the next rate hike date. Either way, the bullish and bearish presence are about equal to this point. We will see if one will gain an edge over the other as summer comes to an end.

Have a great night,

The Maverick Trading Team