Squawk Morning Briefing: Flight To Safety

Earlier in the week we mentioned the special impact that we anticipate from regional Fed surveys and the Empire State survey on Wednesday packed a double whammy.  No only did it confirm weak reading last month, but it surprised almost everyone by contracting.

Of course, we always say that we care about the reaction, and the reaction was quite negative showing a flight to safety.   Traders bought bonds, precious metals, and the dollar while rejecting equities, and currencies considered to have more risk.   Follow through is important, so we’ll see what happens with the Philly survey this morning.   And of course, we’ll be interpreting the movements within the framework of our current wave counts presented in today’s videos.

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Elliott Squawk delivers thorough market preparation every morning in time to take action during the trading day. By combining up-to-the-minute futures activity with traditional end-of-day analysis from cash indices, you receive analysis based on the latest conditions as the trading day sets to open. Each issue of Elliott Squawk goes beyond traditional Elliott Wave analysis because we recognize that trading Elliott Waves is much more than just looking at the most likely current count. Squawk will prepare traders to assess the market action as it unfolds by answering questions that any Elliott Wave trader should consider:

• What price levels and wave motions would confirm an expected move?
• What price levels would make an alternate scenario more likely?
• What technical indicators should be watched throughout the day to interpret wave action?
• What intermarket movements merit special attention to understand likely price trends?

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From time-to-time when circumstances warrant, Squawk will present analyses of other markets that help interpret wave action in a covered market. For example:

• If S&P 500 and Dow counts are ambiguous and NASDAQ behavior helps identify the likely next move then NASDAQ analysis will be presented.
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Kevin McEwen and David Starr are best known to First Wave chat room participants as Kevy99 and Managematics and by their reputation for their Elliott Wave counts that have predicted market turning points. Kevin has been counting Elliott Waves for 28 years, successfully forecasting market moves in virtually every financial environment. David brings together talents in financial market analysis and software development to his wave counting. He has authored many of the studies used by First Wave Traders as well as a number of proprietary studies to aid in counting waves.

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