5/18/2021 Morning Update

May 18

Expectations from Friday have played out and may be complete but could use a little more work.

EUR/USD is shy of our upside target by about 6 pips. USD/JPY hit it, but has moved so sloppy I never re-entered the trade. I did over the weekend in the channel that EUR/USD looked better, but was already 3/4 of the way up at that point.

ES/SPX double topped yesterday, but I was expecting a little higher, perhaps 4188 in ES, maybe enough to get SPX to the 4203 area to fill the gap.

Given that UJ is the only pair to officially hit a target (but hasn’t turned yet) I lean toward a little more work left, but we should be cautious. Things can fall apart in an instant. I’ll be watching the dollar pairs for long entry, and may look to take an entry in USD/JPY right where it is if the current low holds. ES/SPX to another low and a partial retrace up would justify a short position.  Breaking below 4150 in SPX would break the Trendline.