Market Outlook for the Week of 6/5/23

Welcome everyone to the Traders Market Intelligence Report, brought to you by WealthBuildersHQ.com. This update is from Monday, June 5th, 2023. Hope you’re having a fantastic day. Man, it was a -woo – rocking day today, baby. Takes me back to my high school years, just in early college years of the one of my favorite songs. The roof is on fire, right? The roof, the roof, the roof is on fire! We don’t need no water! Just let it burn! Well, the roof’s on fire today. The roof, 4181, we broke and I mean broke with a freaking vengeance out of there today. Unemployment report, all of that looking good. We had more people unemployed. It’s amazing that the market goes up on that, but there’s a belief that that will push down on the opportunity to raise interest rates again, but there’s misconception there. Do not take that pause if that’s what it is, or that stop is a stop.

There’s a very good chance. It’s nothing more than a pause if they choose to do so. So just be very diligent and not fall into the trap of,” okay, because they didn’t raise in June, we’re not gonna get any more increases.” Powell has said it. Two or three other Fed presidents have said it. Be very, very, very careful there.

So when you look at what happened today, we got our gap up. We’re 61 points today on the S&P 500. Talk about kicking tail and taking numbers, right? So we blew through the fib line, which is this white, the top white line, right, which is the 4195. Actually no, my bad. Let’s go back. The bottom one is no. Okay. 4181. There you go. So the top line is the fib line. The 4195 level. The lower level is the 4181. Great confluence there. Great blue zone there. Strength. Yeah, man, we pushed into it 1, 2, 3, 4 times, gave it a little back before we finally had a two day strong, strong bounce when we closed near the high of the day today. So it has been excellent to the downside. We’re looking at 4195. To the upside, we’re looking at 4312 on SPX, right?

We’re looking at VIX and we’re using TradeStation today instead of Omega Chartz. You look at VIX, I put in a quasi lower zone right low zone, which takes us down into the eight, the top of the boxes at 18. Exactly right? So we’re looking at 14.59 right now. If you go ahead and just sneak your head over to the left, I will bring this in as much as it allows me to, right, you could see that we got right down in that on June 28th or 30th or so, 25th…somewhere around there. End of June, beginning of July of 2021, we got down to that below that 14.35 level, barely. We came back and tested it again here in November of 2021. And we ain’t been back since. We have been absolutely nowhere near it at this point. And what’s happened now, we’ve got a great opportunity pushing through that level. You know, we were for a very long time at 11, 12 ish level on the VIZ, but we haven’t seen that now since Covid, right? We have not seen anything like that whatsoever. Fear is down after the unemployment report today. Again, don’t read too much into it yet. I’m not saying we’re going back up or having more increases or even if they’re gonna do or not do this time around, there’s still a fairly high chance. I didn’t see it today, as of yesterday. It was a 75% chance of a quarter hike, quarter point hike this this June meeting after today. That may have changed. I don’t know. And we just gotta keep our eyes on that stuff, right?

So again, one more time back to S&P 500. What do we wanna see or expecting to see? Guys, we’re looking at that 4312, is our upside. There’s gonna be some hesitation there. It’s the next level. Right? Now, keep something in mind. If you look at that 4312 right there. Now, I want you to go back to the left, to the left and right here in August of last year, we were right there, right? So that has a lot of strength in that area over there, okay? So keep that in mind on the downside. 4195, 4181, that is a confluence zone. That’s what we’re looking for, to retest. And there you have it, ladies and gentlemen. Make it a profitable day. Stay focused on the quest of becoming a great trader. Keep crushing it. And remember, remember you just won trade away. Take care everybody. I will see you next week at our next updates. All right, bye for now.