The markets managed to regain some of Tuesday's losses yesterday, but today's move didn't give any upward follow-through. We still have one day left in the week, along with the Nonfarm Payrolls report, which could send the markets in either direction. The market is expecting a drop from the previous number, down to 185k.
Volatility continues to low base here, along with the S&P. We aren't seeing these levels tested just yet, but tomorrow's Nonfarm Payrolls numbers could be a good catalyst to the upside. If the numbers come "in line" with expectations, then we could see movement to the downside, with uncertainty to the Fed's reaction of the numbers come September. Regardless of result, we will need to see how the market reacts and what is triggered.
See you on this Sunday's live Trading Room class!
Have a great night,
Your Maverick Trading Team
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