A usual, the stock market traded sideways again on Friday. Ahead of the G20 meeting, it is likely setting up for a big rally on Monday. Already, overnight, NQ futures has traded up over 100 points from Friday close, setting up for a huge opening gap to the upside.
With President Trump desperately wanting to get whatever credit he can get from the G20 meeting, look for the PPT and the Fed to continue to push the stock futures market up all night. They would want to see the market opens with a huge gap-up in order to forced the short-sellers to cover and cause a big rally which Trump will then take credit for the rally..
Key to Monday's price action will be the open.
-- Opening above Friday swing high is going to generate a large up day on Monday as the Fed and the PPT is going to continue to buy the stocks as ordered by President Trump just to make him looks good. Upside targets is 7200 or so. Resistance are 7085, 7130 and then 7200.
-- Although not expected, trading below 6900 key support is going to trigger massive selling as trailing stop-losses get run over.
