Our final catalyst for the week is the Nonfarm Payroll (NFP) job report on Friday morning before the market opens. This economic event is our chance to see what big money wants to do for the rest of the week, whether sending this market even lower or giving a relief pop.
We are in a bearish market, so we will continue to focus on shorting the pops.
After the FOMC event on Wednesday, the S&P 500 (/ES) had a large cover pop to $4,300. On Thursday, the /ES broke through point of control (POC) and started to head toward the previous low of the year at $4,101.
In the video above, we’ll lay out key levels on /ES where we’ll look to enter our short positions. We’ll discuss the rest of the major indexes, volatility, and our SHOP setup after a disappointing earnings report dropped it lower than the expected move.